Posco Daewoo has rented the Ocean Monarch beginning in November 2019 until March 2021 for seven wells plus a five-well option, according to the vessel's owner Diamond Offshore latest fleet update.
The fleet update did not disclose the price for the Posco Daewoo drilling.
The Ocean Monarch is capable in drilling to depths of up to 10,000 ft. Currently, the vessel is being used by Cooper and Exxon in Australia.
The drilling is likely part of the Shwe Gas expansion program.
In June, Posco Daewoo selected a consortium including McDermott and GE company Baker Hughes for phase two of the Shwe development.
The project includes subsea umbilicals, risers and flowlines (SURF), as well as sub-sea production systems for an eight-well development and modifications to tie-back the new facilities to an existing platform. Water depth is between 279ft and 466ft. The award follows the completion of a front-end engineering and design (FEED) competition and tender for the engineering, procurement, construction, installation and commissioning scope by the consortium.
Reports had stated that McDermott and Baker Hughes’ main competition was Technip. Previously, Korean media had reported the work would cost about $500m.
Shwe Gas is located in offshore blocks A-1 and A-3. Its target is currently 500mmcfd of production, of which 80% is to be exported to China.
