Seadrill Limited has announced new contract awards for its rigs West Neptune, Sevan Louisiana, and Sonangol Quenguela.
In the U.S. Gulf of Mexico, the West Neptune has secured a contract with LLOG Exploration. The four-month program is scheduled to begin immediately following the current contract, contributing approximately $48 million to Seadrill’s backlog.
Meanwhile, the Sevan Louisiana also received a contract award in the U.S. Gulf from an undisclosed operator for a two-month program. This engagement is set to start directly after its current contract with Walter Oil and Gas. The campaign will mark the first use of the Trendsetter well-intervention equipment in the region.
In Angola, an option for five wells has been exercised, extending the Sonangol Quenguela’s operations by around ten months, keeping the rig contracted through February 2027.
“These awards reflect Seadrill’s ability to contract preferentially in direct continuation to current contracts and avoid costly white space in a challenging market phase,” said Simon Johnson, President and Chief Executive Officer. “We continue to build backlog into 2026 and beyond, deepening longstanding partnerships with existing and repeat customers.”
As Reconnaissance Energy Africa reports a productive 2025 in its year-end corporate operational performance, the company is preparing to conduct a well test in Damara Fold Belt offshore Namibia.
“We are preparing to conduct a production test on Kavango West 1X, which will allow us to conduct a longer flow period and pressure buildup analysis to better calculate potential production rates and reserve estimates. Early planning suggests that we may test up to eight separate reservoir intervals of interest,” said Nick Steinsberger, Senior Vice President Drilling & Completions.
Unlike the usual process, the partners are prioritising production testing over a drill stem test to allow for more controlled testing of isolated intervals of interest. This way better addressed the operational challenges posed by a 2,000-m open hole section in adequately testing the entire gross Otavi reservoir at one time.
Production casing and testing equipment are being sourced before testing operations can be commenced in the first quarter of 2026. In a span of roughly two months, up to eight zones of interest will be evaluated.
Wireline logging from the Huttenberg and Elandshoek formations within the Upper Otavi Group have also indicated promising results. Well analysis from the Elandshoek sections shows 81 m of hydrocarbon fluorescence found in cuttings, a clear indicator of hydrocarbons. Indications of fracturing were pervasive based on well logs.
Also, rapid increases in gas readings after drilling connections indicated hydrocarbons flowing actively towards the wellbore.
“We have had an active and productive 2025 in which we advanced the Company on multiple strategic fronts. We completed drilling our second well in the Damara Fold Belt resulting in encountering of significant hydrocarbons, extended our acreage position into Angola at a low cost of entry and expanded our asset portfolio into offshore Gabon to help balance our investment risk profile. These actions set the Company up for several important milestones in 2026.
We are preparing for the production test at Kavango West 1X next year after only our second exploration well drilled in the Damara Fold Belt, a unique position to be in when exploring a new basin. Our teams are working on procuring the equipment needed for this test which is expected to commence operations by the end of the first quarter of 2026.
While recently visiting Namibia after our Kavango West 1X well results, the partnership group operated by ReconAfrica and including NAMCOR and BW Energy, had the privilege of meeting Her Excellency President Nandi-Ndaitwah. We are grateful for the President’s recognition of the significance of hydrocarbons encountered in the Kavango West well and how the partnership can help support onshore hydrocarbon development and the long-term energy supply for Namibia,” said Brian Reinsborough, President and CEO.
As NuGulf is looking towards major decommissioning operations, a Bureau of Safety and Environmental Enforcement-aligned Cased Hole Well Control Manual for Decommissioning Activity that is dedicated to the nearshore Gulf of America has been released.
The document focuses on decommissioning where the well is made safer, especially during the operation. The initial process involves establishing plug and cement barriers to isolate all hydrocarbon hazards. Once this step is achieved, well changes are determined by 'class' from pressure for flow potential to no pressure and no potential to flow. Equipment rig up can change from pressure tested PCE to 'open hole' operations to cut and pull tubing and casing.
This document comes after a tried and tested onshore Cased Hole Well Control Manual that ensured consistency in operations and both well site supervisors and contractors understand what is required for any cased hole operation.
A United States-based operator, NuGulf works to eliminate the global Asset Retirement Obligation (ARO) through the careful decommissioning, plugging and abandoning, and environmental cleanup of wells and field infrastructure. Their approach involves innovative solutions to efficiently deliver some of the most challenging decommissioning, well intervention and hurricane recovery projects.
BW Energy has announced that the short-term lease for the Super Gorilla class jack-up rig BW MAROMBA B, to be deployed in Brazil's Maromba field, has been successfully converted into a long-term project lease agreement with Minsheng Financial Leasing Co. Ltd. (MSFL)
The new lease agreement covers the rig purchase and all costs required to get the MAROMBA B wellhead platform ready for drilling and production. This provides an efficient lease financing structure for the project's development phase, followed by a 10-year lease term. The lease will commence upon first oil for the Maromba development, with no payments due before this point. The lease carries a fixed daily rate of US$ 120,500, providing cost predictability throughout the lease period.
"We are pleased to establish an attractive lease financing for the full scope of the Maromba wellhead platform investment, building on our strong relationship with MSFL," said Thomas Young, the CFO of BW Energy. "This agreement further highlights our ability to consistently leverage repurposed production infrastructure to enable cost-efficient greenfield developments."
The rig is expected to arrive in Dubai from Singapore before the end of the year. At the yard in Dubai, it will be refurbished and converted into a fully integrated drilling and production platform. The unit's recent drilling service in Australia supports an efficient upgrade and refurbishment programme. When completed, it will mobilise to Brazil and commence drilling and completion work according to the phased development plan for the Maromba field.
The Maromba field in the southern Campos Basin offshore Brazil, around 100 km southeast of the city of Cabo Frio, is estimated to contain around 100mn bbl of oil and has an estimated oil production capacity of 30,000 to 40,000 barrels per day. It is 95% owned by BW Energy, the operator, and is being developed in phases, with first oil scheduled for 2027. 5 Star Oil & Gas Brasil Ltda holds a 5% back-in right in the Maromba licence.
Subsea7 has been awarded a contract with Chevron Australia for subsea installation on the Gorgon Stage 3 Project.
Subsea7’s scope of work includes project management, engineering, procurement, fabrication, transportation, installation and pre-commissioning of subsea equipment and associated infrastructure at the project site, located at 1,350m water depth.
Project management and engineering work will commence immediately, with offshore operations expected to begin in 2028.
David Bertin, Senior Vice President for Subsea7 Global Projects Centre East, said, “This project marks an important milestone and reinforces our long-term strategic engagement with Chevron. Building on our local and international capability and experience, we look forward to working collaboratively with Chevron Australia – focusing on safety and quality to optimise reliability, technical integrity and offshore operations – to successfully deliver the Gorgon Stage 3 subsea installation.”
Shell Offshore has taken a final investment decision on a waterflood project at the Kaikias field in the Gulf of America to aid in boosting production.
Water will be injected to displace additional oil in the reservoir formation which supplies production to Shell’s Ursa platform in the Mars Corridor.
The method acts as a secondary recovery where the injected water physically sweeps the displaced oil into adjacent production wells, while re-pressurising the reservoir. First injection is penned for 2028 and is anticipated to extend the production lifecycle of Ursa by several years.
Peter Costella, Shell’s Upstream President, said, “Following our decision to increase our stake in Ursa earlier this year, this additional investment continues to maximise the value of the asset. It also contributes to our aim of maximising high-margin production and longevity in a core basin to maintain liquids production.”
ExxonMobil Australia Chair, Simon Younger, outlined the state of play in the company’s decommissioning efforts in the Gippsland Basin during a recent industry event.
He said the company is committed to “responsibly decommissioning” a number of offshore facilities that are no longer producing oil and gas, highlighting the global significance of the project off the coast of Victoria.
“You may be surprised to learn that Victoria is home to Australia’s largest decommissioning project, and ExxonMobil’s largest decommissioning project globally, a multi-year, multi-billion dollar programme of works,” he noted.
Younger was speaking at an event to mark ExxonMobil Australia’s 130 years in the country.
From humble beginnings as the Vacuum Oil Company (later known as Mobil Oil Australia) selling a barrel of cylinder oil to a Bendigo Goldmine from its Melbourne office back in 1895, 130 years later it has grown to become one of Australia’s most critical energy suppliers.
The event also celebrated 60 years of its membership to the Committee for Economic Development of Australia (CEDA), an independent, member-based public policy think tank.
“So far we’ve safely completed over $2.5 billion of early works across our offshore operations, including the permanent sealing of more than 200 wells,” said Younger.
All this work, he added, is in preparation for the arrival of the world’s largest construction vessel, the Allseas Pioneering Spirit, in 2027.
“This mammoth vessel, which is as long as almost 3 MCG fields laid end to end, will travel from Norway to start removal of the 12 retired offshore facilities in Bass Strait and deliver them to our Barry Beach Marine Terminal in Southeast Gippsland, where they will be safely dismantled and recycled.”
After that, the mega project entails a huge and coordinated recycling effort, he noted.
“We plan to maximise recycling of these facilities for a second life and minimise the number of materials processed as waste,” said Younger.
“In fact, our aim is to recycle more than 95% of the mostly steel material from our oil and gas structures. Most of the steel will either be sent offsite in trucks, or via ships for onward transportation to recycling facilities.”
At the same time, Younger noted that ExxonMobil Australia remains committed to supporting the reliable supply of gas from the Bass Strait into the 2030s.
Over the last decade, it has invested almost a billion dollars in the Gippsland Basin.
These investments include the Kipper 1B project, which started up last month, the Kipper Compression Project, and the West Barracouta project, which came online in 2021.
“And right now, in conjunction with our joint venture partner Woodside Energy, we are investing $350 million to develop the Turrum Phase 3 project, which will further bolster supplies of Gippsland gas to the east coast domestic market by 2027,” he said.
“Turrum Phase 3 will be one of the largest gas developments on the east coast and means our Gippsland operations are set to continue powering Australian homes and businesses well into the next decade.”
Earlier this month Subsea7 was awarded a sizeable contract by Ithaca Energy for work in the UKCS.
The contract outlines the provision of off-station decommissioning services for the Alba Floating Storage Unit and Greater Stella field FPF-1 production facility, located 230km east of Aberdeen.
The scope includes the flushing of the subsea pipelines, provision of diver support vessel services, and seabed clearance.
Project management and engineering will commence immediately, with offshore activities penned to begin from Q2 2026.
Hani El Kurd, Senior Vice President of UK and Global Inspection, Repair and Maintenance for Subsea7, said, “This award provides an excellent opportunity to further demonstrate the extent of our three decades of full-field proven decommissioning expertise and our capability in delivering complex, safe and effective solutions.
“Subsea7 is proud of its longstanding relationship with Ithaca Energy, which began in 2008, and looks forward to collaborating closely throughout this project to combine our expertise and ensure its successful delivery.”
Australia faces a major offshore oil and gas decommissioning challenge, with costs estimated at US$40.5bn over the next 50 years, covering more than 1,000 wells as well as related infrastructure.
This is estimated by the Centre of Decommissioning Australia (CODA) to involve the dismantling and disposal of topsides and substructures equivalent to 75 Eiffel towers.
Recent guidance issued by the UK’s Net Zero Technology Centre, in partnership with engineering consultancy Astrima, could help energy companies globally speed up the rollout of improved technologies for decommissioning oil and gas wells, thereby helping to cut costs as well as reducing the environmental impact of ageing energy assets.
The Aberdeen-based centre said the current pace of deployment “remains incredibly slow” as the scale of the challenge grows.
The first guidance is focused specifically on well plug and abandonment (P&A), given that well abandonment is one of the most costly aspects of decommissioning.
It sets out a clear, evidence-based process to assess whether materials can safely and permanently seal wells that are no longer in use. The six-step framework supports safe and confident use through a structured qualification process, helping users identify risks, build a strong evidence base, and streamline approvals to accelerate the safe deployment of new solutions.
Long-term safety and environmental protection are critical as the industry moves away from traditional cement-based barriers. New technologies using low melting point alloys, resins, polymers and epoxies are emerging, but face challenges demonstrating their effectiveness and reliability.
The framework incorporates input from operators, regulators and technology developers, and draws on international guidelines and standards such as DNV RP A203 and API RP 17Q, which are widely used across the energy sector.
Lewis Harper, Programme Manager at NZTC, said,“Well decommissioning is an increasingly urgent global issue as maturing basins seek ways to cut costs, reduce emissions and improve efficiency. The only way to achieve that is through new technology, but the pace of developing and deploying new solutions remains incredibly slow.
“This guidance will help speed up the safe adoption of innovative technologies, giving operators and regulators the confidence to move faster. By managing performance to stringent standards, the adoption of new materials should become easier and more reliable. This framework gives the industry the tools to tackle well decommissioning challenges with greater confidence.”
To reach optimised production results, Vaalco Energy has begun the spudding of the ET-15 infill well on the Etame platform as part of Phase Three Drilling Programme offshore Gabon.
This infill well is anticipated to significantly add to the production generation capacity of the floating storage and offloading vessel (FSO) that is operational on the Etame Block since 2022 following an extensive transition and field reconfiguration process. While a low cost solution, the FSO boasts of a high storage capacity and improved operational performance. It has helped Vaalco reach operational excellence, and production uptime and enhancement.
George Maxwell, Vaalco’s Chief Executive Officer, commented, “We are excited to commence our drilling campaign in offshore Gabon and are beginning the near-term series of value creation catalysts that we outlined to the market in our Capital Markets Day presentation this past May. The drilling rig arrived in late November, and we have spud our first well, the ET-15. We are initiating the programme at the Etame platform with this infill well and the pilot holes. After drilling at the Etame platform, we expect to move the rig to the SEENT and Ebouri platforms where we have several wells and workovers planned to enhance production, lower costs and potentially add reserves. As we enter 2026, with major projects underway in both Gabon and Côte d’Ivoire, we are looking to drive meaningful growth that we believe will translate into value for our shareholders for the remainder of the decade.”
As previously announced, the Company secured a drilling rig in December 2024 in conjunction with its Phase Three Drilling Programme, with an affiliate of Borr Drilling.
ADES Holding has secured a new contract for its Compact Driller standard jack-up through its Shelf Drilling subsidiary for work offshore Brunei.
The contract, awarded with Brunei Shell Petroleum, covers plug and abandonment operations offshore, and is expected to commence in Q4 2026. The contract has a two-year term and is worth approximately US$63mn.
Mohamed Farouk, CEO of ADES Holding, said, “We are delighted to announce our first contract award following the successful acquisition of Shelf Drilling, a milestone that reinforces our strategic vision and solidifies our presence in Southeast Asia, a region of immense opportunity and growth. This award reflects Shelf Drilling’s proven track record of safety and operational excellence, particularly its unique experience delivering P&A services in the region.
“This track record underscores the rationale behind our acquisition. We are pleased to begin our partnership with BSP and remain committed to delivering safe and efficient operations in support of their activities in Brunei. It is a testament to the dedication of the combined teams and the strength of our integrated platform. We look forward to building on this momentum and continuing to deliver exceptional results for our clients and partners.”
Malaysian well interventions specialist, United Asiapac Energy Bhd, has launched an initial public offering (IPO) on the ACE Market of the local stock exchange.
According to filings lodged with Bursa Malaysia, the company aims to use the IPO to bolster its services and operational capabilities to take advantage of emerging opportunities in Malaysia’s upstream sector.
Specifically, that includes plans to strengthen its technical capabilities by acquiring new well intervention tools and equipment.
“To support future business growth, it is essential that our group has available well intervention tools, equipment and DNV-certified cargo baskets that we can mobilise
simultaneously in order to meet our project deadlines,” its stock market prospectus notes.
In line with this goal, the company plans to acquire a break-out unit for installation at its Kemaman base, to be used for the assembly and testing of well intervention tools.
Presently, the group’s tools and equipment are transported to a third-party facility within the Kemaman base for assembly, testing and inspection, which requires careful planning to ensure project timelines are met and incurs additional logistical costs.
“We also intend to purchase DNV-certified cargo baskets, which are used to transport tools during every mobilisation,” the company added.
The group boasts strategic locations in Kemaman and Labuan, which it claims give it a competitive edge over other industry players, which are predominantly international firms.
United Asiapac Energy added that it also intends to introduce new well intervention solutions to broaden its service offering.
“We plan to introduce e-line, slickline and wireline recovery services, particularly for small hole fishing,” its prospectus notes.
“In addition, we plan to offer hydrocarbon well cleanout services to remove obstructions and debris through the procurement of specialised tools. This expansion is a direct response to increasing market demand and enquiries from existing and prospective clients seeking for well intervention solutions under a single service provider.”
The company also said that it intends to expand its services in Sabah, as well as acquire a new corporate office in the Kuala Lumpur area.
Sarawak expansion is also in its sights.
“We aim to expand our market presence in well intervention solutions within Sarawak,” it notes in the Bursa Malaysia filings.
“The state presents significant opportunities for growth, driven by the anticipated increase in greenfield exploration activities and the maturing of existing hydrocarbon fields. With new fields being explored and developed, and mature fields nearing the end of their productive life, the resulting demand for well intervention, particularly P&A services, appears promising.”
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