Shelf Drilling terminates bareboat charter agreements with China Merchants

Dubai-based Shelf Drilling has announced that it has terminated agreements with an affiliate of China Merchants & Great Wall Ocean Strategy & Technology Fund for the bareboat charter and option to acquire two jackup rigs.

The company planned to buy the two newbuild rigs from China Merchants for $87m each, and issue new shares to fund the acquisition.

Shelf Drilling will pay $4m to China Merchants to settle the termination.

Shelf Drilling currently owns a fleet of 36 jackup rigs.