Seadrill is an offshore drilling contractor providing worldwide offshore drilling services to the
oil and gas industry
The petroleum industry, also known as the oil industry, includes the global processes of exploration, extraction, refining, transportation (often by oil tankers and pipelines), and marketing of petroleum products. The largest volume products ...
. Its primary business is the ownership and operation of
drillship
A drillship is a merchant vessel designed for use in exploratory offshore drilling of new oil and gas wells or for scientific drilling purposes. In recent years the vessels have been used in deepwater and ultra-deepwater applications, equipped ...
s,
semi-submersible
Semi-submersible may refer to a self-propelled vessel, such as:
*Heavy-lift ship, which partially submerge to allow their cargo (another ship) to float into place for transport
*Narco-submarine, some of which remained partially on the surface
*S ...
rigs, and
jack-up rigs for operations in shallow to ultra-deep water in both benign and harsh environments. It provides a contract-based service and primarily serves the oil super-majors, integrated oil and gas, state-owned national oil, and independent oil and gas companies.
History
Seadrill was incorporated as a Bermuda company on May 10, 2005 by
John Fredriksen.
In July 2005, the company acquired jack up rigs from
Odfjell Drilling
Odfjell Drilling Ltd. is an oil drilling, well service, and engineering company.
Current operations
The company has 3 divisions:
* Mobile Offshore Drilling - Owns 6 drillships and operates in Norway, United Kingdom, Angola, Vietnam, and Brazil. ...
.
[
In September 2006, the company acquired a controlling share of ]Smedvig
Smedvig ASA, ("Smedvig"), ( OSE: SME, NYSE: SMVA) was a Norwegian offshore oil rig company headquartered in Stavanger until it was acquired (January 2006) by rig newcomer SeaDrill of tanker mogul John Fredriksen. At time of the merger Smedvig o ...
by outbidding Noble Corporation.initial public offering
An initial public offering (IPO) or stock launch is a public offering in which shares of a company are sold to institutional investors and usually also to retail (individual) investors. An IPO is typically underwritten by one or more investm ...
of its North Atlantic Drilling subsidiary, which owns harsh environment rigs. Seadrill continued to own 70% of North Atlantic Drilling.
In April 2013, the company sold the majority of its tender rig and semi-tender operation to SapuraKencana.
In May 2013, the company sold Tender rigs ''T-15'', ''T16'' and the ''West Vencedor'' to Seadrill Partners LLC.
In June 2013, the company acquired a majority interest in Sevan Drilling.
In November 2014, the company suspended dividend payments as a result of a downturn in the industry.
In December 2017, the company filed bankruptcy
Bankruptcy is a legal process through which people or other entities who cannot repay debts to creditors may seek relief from some or all of their debts. In most jurisdictions, bankruptcy is imposed by a court order, often initiated by the deb ...
. The company emerged from bankruptcy in July 2018.
In 2019, Seadrill acquired a 50% stake in Gulfdrill, a joint venture that operates five premium jackups in Qatar with Qatargas. The remaining 50% interest is owned by Gulf Drilling International (GDI).
In 2019, Seadrill acquired a 50% stake in Sonadrill, a joint venture that operates 3 drillships focusing on opportunities in Angolan waters. The remaining 50% interest is owned by Sonangol EP.
The company delisted its shares from the New York Stock Exchange in June 2020.Chapter 11 bankruptcy
Chapter 11 of the United States Bankruptcy Code ( Title 11 of the United States Code) permits reorganization under the bankruptcy laws of the United States. Such reorganization, known as Chapter 11 bankruptcy, is available to every business, w ...
for the second time. The company emerged from Chapter 11 in February 2022 and a new Board of Directors was appointed.
On January 12, 2022, Seadrill New Finance, Seadrill's subsidiary, filed for Chapter 11 bankruptcy. The company emerged from bankruptcy on January 20, 2022.
On March 24, 2022, Seadrill announced the appointment of new CEO Simon Johnson, replacing Stuart Jackson.
On October 11, 2022, Seadrill Limited received approval to relist its Shares on the NYSE under the ticker symbol “SDRL”. The Shares commenced trading on October 14, 2022. Following the listing on the NYSE, the status of Seadrill Limited’s listing on the Euronext Expand market of the OSE was changed from a primary to a secondary listing. On November 17, 2022, the Shares were moved from the Euronext Expand market to the main list of the OSE
In October 2022, Seadrill completed the sale of seven jack-up rigs to ADES Arabia Holding Company.
Sustainability
Seadrill has reported its GHG emissions via The Carbon Disclosure Project (CDP) since 2010 with a year-on-year reduction in its carbon footprint. The company published its first sustainability report in 2021. In 2021, Seadrill achieved an industry-leading B rating from CDP, 0 fines or significant environmental incidents, and 0 tier 1 well control events.
Controversies
Bribery allegations
In 2015, Petrobras
Petróleo Brasileiro S.A., better known by and Trade name, trading as the portmanteau Petrobras (), is a Brazilian state-owned enterprise, majority state-owned multinational corporation in the petroleum industry headquartered in Rio de Janeiro. ...
alleged bribery in the negotiations of rig contracts signed by Sevan Drilling, a subsidiary of Seadrill, in 2005-2008. In 2018, Økokrim, the Norwegian authority for investigation and prosecution of economic and environmental crime, completed the investigation against Sevan Drilling and the original charges were dismissed.
Environmental damage due to rig fire
In November 2009, Seadrill's West Atlas jackup rig
A jackup rig or a self-elevating unit is a type of mobile platform that consists of a buoyant hull fitted with a number of movable legs, capable of raising its hull over the surface of the sea. The buoyant hull enables transportation of the unit ...
, which was located on Montara field, about 690 kilometers offshore of Darwin, Australia
Australia, officially the Commonwealth of Australia, is a country comprising mainland Australia, the mainland of the Australia (continent), Australian continent, the island of Tasmania and list of islands of Australia, numerous smaller isl ...
, caught fire after the field had been leaking oil for ten weeks. The rig was operated by the Thai firm PTTEP. For 74 days, gas and oil ran into the Timor Sea
The Timor Sea (, , or ) is a relatively shallow sea in the Indian Ocean bounded to the north by the island of Timor with Timor-Leste to the north, Indonesia to the northwest, Arafura Sea to the east, and to the south by Australia. The Sunda Tr ...
, in what was one of the worst environmental disasters in Australian history.
The Thai national petroleum exploration company (PTTEP) took immediate responsibility for the oil spill and, in 2011, the company pleaded guilty to four charges in the Darwin Magistrates Court relating to the workplace health and safety and failure to maintain good oilfield practice. The company conducted scientific studies and concluded there “has been little or no detectable impact from the spill on any marine ecosystem or species in the Timor Sea”.
References
External links
Visalia sues Seadrill for $70m over hook-up with Sonangol
Africa Intelligence, June 13, 2023 (requires free registration)
{{Authority control
Companies formerly listed on the New York Stock Exchange
Companies listed on the Oslo Stock Exchange
Business services companies established in 2005
Petroleum industry in Norway
Drilling rig operators
Service companies of Norway
Companies of Bermuda
Companies that filed for Chapter 11 bankruptcy in 2017
Companies that filed for Chapter 11 bankruptcy in 2020
Companies that filed for Chapter 11 bankruptcy in 2022
2005 establishments in Texas