Recently, Singapore-based offshore engineering company Seatrium and RigCo, a subsidiary of Keppel, reached a project agreement worth more than S$500 million (about US$391 million) to complete the construction of four offshore drilling rigs. The two parties have issued a joint statement.

The assets to be completed include the seventh-generation drillship “Can Do,” the harsh-environment jack-up rig “Jasper,” and two semi-submersible drilling rigs, “Nordic Winter” and “Nordic Spring.” The “Can Do” is scheduled for delivery in 2027, and the “Jasper” in 2028; the completion schedules for “Nordic Winter” and “Nordic Spring” are still under evaluation.

The project is being carried out under a master services agreement already signed by both parties, with funding from RigCo’s own cash. After completion, the four rigs will be used for leasing operations and may also be monetized through the Keppel Marine Fund.

Cindy Lim, CEO of Keppel Infrastructure and a non-executive director of RigCo, said that in the coming years, market demand for deepwater and harsh-environment drilling rigs is expected to continue rising.

Keppel established the marine fund in July as part of its asset monetization plan, intending to dispose of up to 10 legacy drilling rigs with a total estimated value of about S$3.7 billion (about US$2.89 billion). RigCo will transfer six in-service jack-up rigs to the fund for consideration of about S$1.2 billion (about US$937 million). Keppel estimated in July that, subject to preconditions such as meeting agreed valuation ranges, if the four unfinished rigs are subsequently sold to external parties, they are expected to generate additional cash proceeds of about US$988 million (about S$1.3 billion, or about US$1.02 billion at current exchange rates) in 2027–2028.

William Gu, Executive Vice President of Energy Marketing at Seatrium, said that the group will rely on its engineering and construction capabilities to ensure the smooth completion of these offshore marine units. One of RigCo’s rigs uses Seatrium’s jack-up rig design technology.

RigCo Holdings Pte. Ltd. is a wholly owned subsidiary of Keppel and manages Keppel’s legacy offshore drilling assets. Since 2022, six modern jack-up rigs have been delivered and leased to clients.

Keppel is a Singapore-headquartered asset management and operations group with businesses covering infrastructure, real estate and connectivity. Seatrium is also headquartered in Singapore and is an engineering group serving the marine, offshore and energy industries, with operations covering oil and gas newbuilds, conversions, offshore wind, and ship repair and upgrades.