At least one man has died after an oil tanker caught fire off Hong Kong on Tuesday, authorities said, sending a huge cloud of dark smoke billowing into the air.
Twenty-three people have been rescued after those on the vessel either fell or jumped into the sea, according to a police spokesperson, while two people are missing. A number of the victims suffered burns, and the government said two injured men were taken to hospital.
In a picture posted by the Hong Kong Police, the tanker was seen listing sharply with large plumes of black smoke coming from its middle and flames still burning on the deck.
“I felt my boat shaking. The tremble came from the sea,†said speedboat driver Michael Kwok, who told AFP he heard three explosions while out on his boat nearby.
Hours after initial reports of the oil tanker catching fire in waters south of outlying Lamma Island, emergency services were still battling to contain the scene.
A Hong Kong government statement said firefighters were using four jets to contain the blaze, and a fireboat was seen spraying two streams of water into the sea near the tilted side of the tanker on the right, according to an AFP reporter at the scene, with a mass of twisted metal on the deck and a charred exterior wall bearing a ‘No Smoking’ sign.
Three more fireboats, a helicopter and a police boat were also circling the scene.
“I heard several banging and rumbling sounds, like someone with big hands knocking my glass door,†a resident of Lamma Island’s Mo Tat New Village who gave his name as Shu told AFP.
He added that a smaller banging sound followed about 10 seconds later.
A fisherman from Lamma Island told local news channel i-Cable he first heard explosions and then saw “dense smoke†followed by a “ball of fireâ€.
The name on the front of the tanker was Aulac Fortune, which the Hong Kong marine department tracker website showed as arriving at the South Lamma anchorage at 2.58 am Tuesday local time.
The MarineTraffic.com website listed the tanker as registered in Vietnam and leaving the southern Chinese industrial city of Dongguan on Monday.
It is believed the tanker was also carrying chemicals as well as oil, with ship-tracking websites MarineTraffic and VesselFinder both classifying the ship as an “oil/chemical tankerâ€.
Police said there were 26 crew members onboard altogether, while i-Cable reported that most of the surviving crew members — all Vietnamese — sustained light injuries, showing footage of some wrapped in silver heated blankets and walking up to ambulances without much assistance.
Valaris Limited announced new contracts awarded subsequent to issuing the Company’s most recent fleet status report on February 21, 2023.
Three-year contract with Petrobras for drillship VALARIS DS-8. The rig will be reactivated for this contract. The total contract value is approximately $500 million, including a $30 million mobilization fee.
100-day contract with a TotalEnergies affiliate for drillship VALARIS DS-12. The contract is expected to commence in second quarter 2023.
70-day contract with Beach Energy offshore New Zealand for heavy duty modern jackup VALARIS 107. The contract is expected to commence in third quarter 2023. The total contract value is approximately $26 million.
President and Chief Executive Officer Anton Dibowitz said, “We are particularly pleased to have secured the award for preservation stacked drillship VALARIS DS-8, for a contract that is expected to generate a meaningful return over the firm contract term, and we remain focused on exercising our operational leverage in a disciplined manner. This most recent award represents the sixth contract awarded to one of our high-quality stacked floaters since mid-2021, and speaks volumes about our demonstrated track record of project execution when reactivating rigs.”
Dibowitz added, “Following the reactivation of VALARIS DS-17 and DS-8, we will have ten floaters working across the golden triangle, including four drillships in Brazil, a market where we expect to see continued growth over the next several years.”
Updated Guidance
As a result of the contract awarded to VALARIS DS-8, which will require the rig to be reactivated from preservation stack, we are updating our first quarter 2023 and full-year 2023 guidance provided on our fourth quarter 2022 conference call on February 21, 2023.
First Quarter 2023
Contract drilling expense is expected to increase by approximately $5 million to $385 million to $395 million.
Adjusted EBITDA is expected to decrease by approximately $5 million to negative $5 million to breakeven. Adjusted EBITDAR, which adds back one-time reactivation expense, is expected to be $25 million to $30 million, unchanged from the guidance provided on our fourth quarter 2022 conference call.
Full-Year 2023
Revenues are anticipated to be $1.8 billion to $1.9 billion, unchanged from the guidance provided on our fourth quarter 2022 conference call.
Contract drilling expense is expected to increase by approximately $60 million to $1.49 billion to $1.59 billion.
Adjusted EBITDA is expected to decrease by approximately $60 million to $180 million to $220 million. Adjusted EBITDAR, which adds back one-time reactivation expense, is expected to be $280 million to $320 million, unchanged from the guidance provided on our fourth quarter 2022 conference call.
Capital expenditures are expected to increase by $60 million to $320 million to $360 million.
Source: Valaris
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Seadrill Limited announced that the West Neptune has executed approximately six months of term extensions with LLOG Exploration Offshore, L.L.C in the US Gulf of Mexico.
The extensions will commence in direct continuation of the existing term, and will keep the rig busy until Q3 2024, furthering Seadrill and LLOG’s long-term association. Total contract value for the extension is approximately $79 million.
Source: Seadrill
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Semisub rig owner Dolphin Drilling has inked a new contract with Peak Petroleum in Nigeria for its 1974-built Blackford Dolphin.
The firm contract, which follows the letter of award in January, gives the Euronext Growth-listed owner of three rigs the potential to extend the unit’s backlog by a minimum of 120 days and up to 485 days. The deal adds to and will be a direct continuation of the previously announced 12-month contract with General Hydrocarbon Limited (GHL).
Øystein Stray Spetalen-backed company said the effective dayrate associated with the minimum firm period of the contract is $325,000, including the mobilisation fee.
“The final award of the contract for Blackford Dolphin shows the opportunities in Nigeria at a strong dayrate, in addition to building on the backlog for the rig. It also underlines the attractiveness of our assets, and we look forward to returning to revenue-generating operations in 2023,” noted Bjørnar Iversen, CEO of Dolphin Drilling.
Source: Dolphin
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