ADES International Company has extended two contracts for its jack-up barge Admarine II and jack-up rig Admarine IV, additionally renewing an existing lease for jack-up rig Admarine VI to continue working in Egypt’s Gulf of Suez Area, Egypt Oil & Gas reports.
ADES’ Admarine II jack-up barge contract with the Gulf of Suez Petroleum Company (GUPCO), a joint venture between BP PLC and the Egyptian General Petroleum Company (EGPC), had expired in December 2017 and was extended for another three months. The contract extension is aimed to cover the time needed for Admarine II’s fifth consecutive contract renewal with GUPCO to be finalized.
In addition, GUPCO has extended its contract for ADES’ jack-up rig Admarine IV, for which the fifth consecutive lease is expected to be signed in the upcoming months. Meanwhile, ADES’ third consecutive renewal for Admarine VI contact, which was planned to expire in March 2018, was signed with the General Petroleum Company (GPC).
Extending the Admarine II and Admarine IV contracts come in line with historical rates serving as an introduction to finalizing the contracts’ renewals. Additionally, Admarine VI lease renewal will help ADES secure multi-million-dollar revenue streams for the upcoming two years, according to E&P Magazine.
“Securing these new awards is directly in line with our growth strategy and allows us to deliver on one of our primary pillars, namely the continued build-up of our backlog,” ADES International CEO, Mohamed Farouk, said.