A wholly owned subsidiary of Fred. Olsen Energy ASA has entered into a turnkey contract with Hyundai Heavy Industries Co., Ltd. for the building of a harsh environment ultra deepwater semi submersible drilling rig with scheduled delivery in March 2015.

Total project cost is estimated to USD 700 million (including spare parts, owner furnished equipment and yard project team). Another subsidiary for Fred. Olsen Energy ASA has been granted an option from Hyundai for the purchase of a similar second drilling rig exercisable within October 2012.

The new drilling rig will be a Moss Maritime CS 60 E design and is designed for water depth capacity up to 10,000 feet. The unit will be fully compliant with Norwegian Continental Shelf requirements, and is designed for year round operations in the Norwegian Barents Sea. Further, the rig is specially designed for safe and efficient drilling and completion operations for the full water depth range.