Niko Resources Ltd. is pleased to announce that it has signed a contract with a subsidiary of Diamond Offshore (Diamond) – a major deepwater drilling contractor. This is the largest deepwater exploration contract in the history of Indonesia and will dramatically increase Indonesia’s opportunities for major hydrocarbon discoveries in deepwater. Niko is Indonesia’s largest deepwater acreage holder and currently has interest in 16 Production Sharing Contracts (PSC) and will utilize this rig to explore drilling its very diverse and extensive exploration portfolio.
The Ocean Monarch is being contracted for a four year term with the option of one additional year. The Monarch is a 5th generation semi submersible and is capable of operating in water depths up to 10,000 feet and a drilled depth of up to 35,000 ft. With the option year exercised, this contract is in excess of $700 million. Niko has assembled a very experienced drilling team which has drilled more than 150 deepwater wells worldwide.