Seadrill and Gulf Drilling International (GDI) have formed a joint venture (JV) rig firm, GulfDrill, to conduct exploration on behalf of Qatar Petroleum, through a $656 million contract from 2020 to 2024, Reuters reported.

GulfDrill did not reveal where the exploration would take place. On the other hand, the Qatari energy firm has the option to order further drilling with an additional contract value of up to $700 million.

GulfDrill, the JV which ownership is shared between Seadrill and GDI, will charter two of its rigs from Seadrill and three more from an unnamed shipyard.

“We are excited to establish a significant presence in an important jackup market and to partner with GDI,” Seadrill Chief Executive, Anton Dibowitz, said.

“GulfDrill will give us the opportunity to improve our access to a market that is expected to show significant growth over the next years and strengthen our relationship with Qatar Petroleum,” Dibowitz added.

The JV comes in line with GIS’s strategy to capture new business opportunities to increase revenues and maximize shareholder value, the company said in a statement, according to Zawya.

The firm terms of the well-based contracts will commence in 2020 with initial terms concluding in 2023 and 2024 and an estimated total contract value, including mobilization income, of QAR 2.39 billion ($660 million). The contracts include single well-based options which could add up to an estimated 13.7 cumulative years and an additional contract value of QAR 2.55 billion.