Dolphin Drilling Wins Arbitration Case for Blackford Dolphin Termination Deal
December 24, 2024
Oslo-listed offshore drilling firm Dolphin Drilling has announced positive outcome in the arbitration case with General Hydrocarbons Limited (GHL) over the termination contract for Blackford Dolphin semi-submersible rig that was hired for operations offshore Nigeria.
In Apriil 2024, Dolphin Drilling terminated the contract with GHL for the Blackford Dolphin semi-submersible drilling rig due to issues with the agreed payments.
After that, a mutually acceptable sole arbitrator has been appointed by the Nigerian courts, which later directed that an existing interim injunction, to maintain status quo, continue in force pending orders by the arbitrator.
At the time, Dolphin Drilling also received service of Nigerian court proceedings in an action brought by Technova Africa International Limited.
Technova obtained an ex parte order of arrestment against the Blackford Dolphin, which Dolphin Drilling deemed to be without merit. Soon after, the arrest order filed by Technova has been lifted, while Dolphin Drilling continued to contest the claims made by Technova.
In un update from December 23, Dolphin Drilling confirmed the arbitration case against GHL has been resolved, with the company due to receive approximately $100 million.
The Blackford Dolphin semi-submersible drilling rig was constructed in 1974 and underwent significant upgrades in 2008. The rig has a maximum operating water depth of 6,000 feet (1829 meters) and a maximum drilling depth of 30,000 feet (9,144 meters).
Since the cancellation of the contract with GHL, the rig has been hired by Oil India, under $154 million agreement secured in March 2023. The rig arrived in India in November and started operations for Oil India.
