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Energy

Dragon Oil signs short-term contract for jack-up rig

Dragon Oil PLC (LSE: DGO) said it has signed a contract with BKE Shelf Ltd to hire the Astra jack-up rig for a period of six months commencing in November 2009 on favourable terms.

The group plans to use this jack-up rig to drill two wells during the contract term. Dragon Oil has previously employed this rig on a short-term contract basis.

Chief executive Abdul Jaleel Al Khalifa said: “The group remains committed to securing additional rigs on attractive terms for the development of the Cheleken asset” in the Caspian Sea, offshore Turkmenistan.

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