KS Energy Limited has announced that the contract for the KS Java Star jack-up drilling rig has been canceled.
According to the initial contract, the rig was scheduled to start its work in March, 2015.
However, KS Energy said that after several meetings with the client requesting to postpone the start date of the contract, the client decided to terminate it as the companies could not agree on a new start date.
The company noted that the termination of the contract is not expected to have any material effect on the earnings per share, and net tangible assets per share of the company for the financial year ending December 31, 2015.
The Java Star is a jack-up drilling rig of a Friede & Goldman L-780 design. It was built by Keppel FELS Singapore in 1981 and upgraded in 2009.
Offshore Energy Today Staff