KEY POINTS
- TotalEnergies extends the Deepsea Mira rig contract by 93 days.
- Rig appraised Venus discovery, a billion-barrel target.
- Additional $27M-$38M revenue expected for Northern Ocean.
Energy giant TotalEnergies has renewed its offshore drilling contract in West Africa, further solidifying its presence in the region. The company exercised an extension option for the Deepsea Mira semi-submersible rig, currently operating off the coast of Namibia.
The rig, owned by Northern Ocean and operated by Odfjell Drilling, will continue its work under the extended contract, adding between 65 and 93 days to its operational period. The extension is expected to generate an additional revenue backlog of $27 million to $38 million for Northern Ocean.
High-tech rig drives key discoveries
According to EnergyCapitalPower, the Deepsea Mira, a sixth-generation CS 60 E semi-submersible rig designed for harsh environments, has been instrumental in TotalEnergies’ exploration success in the Orange Basin. The rig, capable of drilling in water depths of up to 10,000 feet, has been under contract with TotalEnergies since December 2022.
In 2023, the rig played a pivotal role in appraising Namibia’s Venus light oil discovery, a major find that underscores the basin’s potential as a significant energy hub. The Venus discovery, described as a game-changer for Namibia, has positioned the region as a key player in Africa’s energy sector.
The rig also contributed to the discovery of the Tamboti-1X exploration well in Block 2913B, a billion-barrel prospect that further enhances the basin’s appeal to global energy investors.
Regional impact and strategic significance
TotalEnergies’ renewed commitment highlights the company’s long-term strategic interest in West Africa’s offshore energy potential. Namibia’s burgeoning oil and gas sector has attracted international attention, with the Venus and Tamboti finds driving optimism about the region’s capacity to become a major oil producer.
This extension aligns with TotalEnergies’ broader strategy to enhance its exploration and production portfolio in emerging energy markets while adhering to its goals of reducing carbon intensity.
Boost for Northern Ocean and Odfjell drilling
For Northern Ocean, the contract extension with TotalEnergies marks a significant financial and operational milestone. The additional revenue backlog underscores the rig’s high utilization and the growing demand for advanced drilling capabilities in challenging offshore environments.
Odfjell Drilling, responsible for the rig’s operations, also benefits from the extension, reinforcing its reputation as a leading provider of engineering services for ultra-deepwater exploration.
The contract extension signifies TotalEnergies’ confidence in West Africa’s energy prospects and its commitment to harnessing the region’s untapped potential. As the company continues to explore Namibia’s Orange Basin, the Deepsea Mira is expected to remain at the forefront of groundbreaking discoveries, contributing to the region’s emergence as a key player in the global energy landscape.
