Lamprell PLC (LON:LAM) said today that it has reached “an amicable settlement” with Cameron International Corporation, a subsidiary of Schlumberger Limited (NYSE:SLB) in respect of issues associated with the jacking equipment supplied by Cameron in 2016.
In a statement, the FTSE 250-listed firm said the settlement will result in Lamprell receiving a proportion of the remedial costs incurred in rectifying the issues associated with the jacking equipment.
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After taking account of the outstanding payment to Cameron in respect of the jacking equipment and the settlement, Lampell said it anticipates its current net cash position will be largely unchanged.
In addition, Lamprell said has it has held “constructive discussions” with Schlumberger with regards to the US firm’s land rig fleet requirements leading to the award of a contract to fabricate two land rigs according to Schlumberger's “rig of the future design” for the Saudi Arabian market, and incorporating newly designed drilling equipment.
It said these rigs are being constructed in Lamprell's existing facilities in the UAE.