Petrobras Launches Tender for 21 Drilling Rigs

Brazil's state oil company Petrobras has launched a tender for the construction of 21 drilling rigs to be built in Brazil, Chief Executive Jose Sergio Gabrielli said. Brazil is planning to build a fleet of drilling rigs in domestic shipyards as a way of spurring the shipbuilding industry and channeling oil revenues into local businesses.

The plans are being closely watched by drilling companies such as Noble Corp that could be affected by a huge growth in the supply of global deep-water rigs. Petrobras has already tendered seven drilling rigs to a local shipyard. It recently canceled a tender for several ships due to what it considered excessively high bids.