Seadrill Limited says that in November, 2014 Petrobras approval had been received for the extensions of its ultra-deepwater semi-submersibles the West Taurus and West Eminence.

Due to recent developments within Petrobras, the Company no longer believes the contracts will be concluded in the timeframe or on the previously approved commercial terms. Consequently, Seadrill will remove US$1.1 billion from the backlog reported in its third quarter earnings release. Seadrill continues to work with Petrobras and its partners to find a mutually agreeable commercial solution.

At the time of the third quarter earnings release Seadrill also announced approval for contract awards on the Libra Field for the ultra-deepwater drillships the West Tellus and West Carina. The final contracts have been signed and commencement of operations is expected to begin in the second quarter of 2015.

Tags: Petrobras, Seadrill Limited