The contract has an estimated duration of six months. Total contract value to Prosafe is USD 17 mill including mobilisation and demobilisation. Approx. USD 14 mill of the total value is related to the time charter period under the contract.
MSV Regalia is expected to leave the base in Bergen, Norway around 10th December, and is planned to return to the same base around 15th June 2004 in order to commence the Troll contract for Statoil on 1st July 2004.
This contract represents another positive development for the Prosafe fleet as it further develops the Prosafe portfolio strategy for expanding into new areas.
After the upgrades of Safe Regency and Safe Lancia this autumn, Prosafe now has five rigs with DP capabilities.
In combination with the 115 days accommodation contract for Statoil on the Troll field, which was announced on 23rd April 2003, MSV Regalia is now secured contracts for a total of about 295 days in 2004. This represents a utilisation rate of 80%. In addition, Statoil holds 60 days of options under the Troll contract.
In total, the Prosafe fleet of eight accommodation and service rigs iss now secured a fleet utilisation of approx. 80% excluding options for 2004. The 5 x 5-year Mexico contracts that were announced on 30th April 2003 further secure a minimum fleet utilisation of 62,5% for each of the years 2005, 2006 and 2007 and 30% for 2008.
MSV Regalia is currently at the Åsgard field on the Norwegian Continental Shelf, where the rig performs subsea well intervention for Statoil. The operations on Åsgard are progressing as planned, and Prosafe will provide further information about this campaign on a separate note once it is completed. Prosafe will remain focused on marketing its subsea well intervention services on the back of this first campaign - while awaiting the demand for such services to gradually develop as intervention requirements accumulate on a growing number of subsea completed wells in production.
Prosafe is the world's leading owner and operator of semi- submersible service rigs, a leading platform drilling contractor in the North Sea and a major owner and operator of floating production and storage vessels outside the North Sea. Operating revenues reached NOK 2.9 billion in 2002. The company employs approx. 1,800 people. Prosafe operates in the North Sea, South-East Asia, India, Egypt, West Africa and the Gulf of Mexico. The company is headquartered in Stavanger, Norway. Prosafe is listed on the Oslo Stock Exchange with ticker code PRS. For more information, please refer to http://www.prosafe.com.
Tananger, 14 November 2003