Jack-up rig picked for six-well drilling campaign in Southeast Asia
What happened
A Conrad Asia Energy subsidiary has executed a binding contract for a jack‑up rig to drill six development wells with a 180‑day firm period and options to extend. The programme ties wells to a leased mobile offshore production unit and notes owner‑supplied equipment that may be novated to the MOPU provider, making mobilisation responsibilities operationally real. Watch whether novation language and deposit timing flow into final MOPU and drilling subcontracts
Buyer takeaway
Treat the contract as an operational schedule that will force mobilisation decisions and deposit timing; this is not optional market noise but booked demand
Cost / money
Mobilisation and owner‑supplied equipment novation can shift upfront cash requirements and change who bears replacement or warranty costs
Supplier / commercial
Suppliers linked to rig support, MOPU delivery, and owner‑supplied equipment will gain scheduling leverage and may shorten quote validity or require deposits
Safety / operations
Compressed mobilisation windows require extra focus on pre‑mobilisation FAT/SAT, crew readiness, permits, and spares provisioning to avoid schedule slippage
What to watch
Confirm who signs and guarantees novated equipment and whether those obligations require additional bonds or insurance from the buyer
Key facts
- Six development wells in a defined drilling programme
- Firm contract period: 180 days with extension options
- Capex to first gas reported in source as $320 million and owner‑supplied equipment provision
Source excerpts
Gaz Bisht, Empyrean’s CEO and Technical Director, commented: “A binding rig contract is not a plan – it is a commitment, and it signals to the market that the Mako Gas Field is moving to drill. We have a world-class discovered gas resource, a contracted jack-up rig, a clear development programme of six wells, and a pathway to market through established Indonesian domestic gas infrastructure
In addition, a provision of approximately $35 million had been provided for owner-supplied equipment to be novated to the MOPU provider and for potential MOPU down payments
Illustration; Source: ADES Conrad Asia Energy’s subsidiary, as the operator of the Duyung PSC in the Natuna Sea, has executed a binding contract with PT Pertamina Drilling Services Indonesia (Pertamina Drilling) through the PDSI – ADES consortium for the provision of a jack-up drilling rig to support the development of the Mako gas field. As a result, the Admarine 502 independent-leg cantilever jack-up rig will be in charge of the scope of work that entails the drilling of six development wells and installatio