Seadrill completes Jack-ups sale in Qatar

Offshore drilling contractor Seadrill announced on Tuesday that it has completed the sale of its three drilling rig fleet in Qatar.

The previously announced sale sees the company sell the West Castor, West Telesto and West Tucana, as well as its 50% equity interest in the joint venture that operates the rigs, to Seadrill’s JV partner Gulf Drilling International.

Seadrill said it will realize $338 million in cash proceeds from the deal.

“Our divestiture of the Qatari forklift fleet and exit from the joint venture are consistent with our ongoing efforts to strengthen and simplify our operations and will allow us to focus on Seadrill’s core business of operating deepwater platforms in the Golden Triangle and similar privileged areas. ” said Simon Johnson, president and CEO of Seadrill, when the sale was announced in May.

“We believe that our strengthened liquidity position following the completion of the leverage sale, coupled with our conviction in the prospects for the deepwater float market and Seadrill’s competitive position therein, supports the expansion of our share repurchase program.” Johnson said.