Valaris, a US-listed offshore drillship owner, has announced new contracts and contract extensions for its drilling fleet, securing approximately $160 million in additional backlog—excluding one-off payments such as mobilization fees and capital reimbursements. This brings the company’s total contract backlog to $4.6 billion.
Specifically, Valaris’s drillship Valaris DS-18 has received a letter of award from an unnamed client for a two-well exploration project. The project is expected to commence in the fourth quarter of 2026 with a maximum duration of seven months; neither the client nor the operating location has been disclosed.
The start date of the Valaris DS-18’s previously signed charter contract with Occidental has been postponed to follow the conclusion of the new charter term. Originally scheduled to operate in Mexican waters starting in mid-Q4 2026, the assignment has been rescheduled to begin in May 2027 and is expected to conclude in December 2029, spanning a contract period of 914 days.
The jack-up drilling rig “Valaris 248” has secured two contracts, comprising one renewal and one new award.
The contract renewal was awarded by GE Vernova for the provision of accommodation support services for an offshore wind project in the UK North Sea, covering a period of 101 days. This extension follows directly on from the existing project, with a total contract value of approximately $7.5 million.
The new contract was awarded by an unnamed client for well abandonment and plugging operations on 41 wells in the UK North Sea; operations are scheduled to commence in mid-2027 and span 1,080 days. The fixed-term portion of the contract is valued at approximately $140 million and includes an annual cost escalation mechanism, alongside two unpriced one-year extension options.
Valaris announced that, following the finalization of a new contract, the charter agreement previously held by the Valaris 248 with a subsidiary of Eni UK will be transferred to the Valaris 120. That contract runs until January 2028 and covers operations in the East Irish Sea.
A separate contract involves the jack-up rig Valaris 123, which has been contracted by a Central European oil company for a single-well project offshore Poland in the Baltic Sea; operations are expected to commence in September 2026 with an estimated duration of 110 days. The contract includes a priced option for a second well, estimated to take 30 days.
In addition to securing these new charters, Valaris has sold two jack-up rigs—the Valaris 104 and Valaris 109—generating $74 million in cash proceeds. Prior to the sale, both rigs had been idle for approximately six years, and the Valaris 104 will no longer be used for drilling operations following the transaction.
Valaris Limited is an industry leader in offshore drilling services across all water depths and geographies. Operating a high-quality rig fleet of ultra-deepwater drillships, versatile semisubmersibles and modern shallow-water jackups, Valaris has experience operating in nearly every major offshore basin. Valaris maintains an unwavering commitment to safety, operational excellence, and customer satisfaction, with a focus on technology and innovation.