After Northern Offshore said today that the company has terminated the contract for the Energy Searcher drillship with the oil exploration company CAMAC Energy due to breaches in the drilling contract, CAMAC issued a counter statement.
Namely, CAMAC has said it has terminated its drilling contract with Northern Offshore, and not the other way around.
In its statement CAMAC claims that it terminated the drillship Energy Searcher contract by notifying Northern on January 7, 2015 that it elected to terminate the contract with immediate effect “for Northern’s repudiatory breach of contract and other material breaches of the drilling contract by Northern”.
According to CAMAC, these breaches have caused significant damages and loss, including delay damages and wasted spread costs to the company. Furthermore, CAMAC notes it is considering all legal options to enforce its rights under the contract.
The company’s Oyo Field drilling and completion operations are now being conducted by the Transocean Sedco Express semi-submersible drilling rig, which arrived on location in December, and CAMAC says that production is still expected to be online by the end of Q1 2015.
Offshore Energy Today Staff