Hamilton, Bermuda, July 5, 2017, Sevan Drilling Ltd ("Sevan" or the "Company") announces it has amended the delivery deferral period for the Sevan Developer until June 30, 2020, effective upon receipt of $25.3 million plus interest from Cosco (Qidong) Offshore Co. Limited ("Cosco"). Receipt is expected by July 31, 2017. During the extended delivery deferral period, Sevan may continue marketing the rig for an acceptable drilling contract where financing could be secured to allow delivery.
Cosco now has the option to terminate the deferral period agreements on July 1, 2018 and again on July 1, 2019, which would require Cosco to refund the remaining $1 million investment balance to Sevan. Other terms and conditions under the deferral agreement dated 15 October 2014 remain unchanged.
This information is subject to the disclosure requirements pursuant to section 5-12 of the Norwegian Securities Trading Act.