Vantage Drilling International Ltd. announced it has completed the sale of the Tungsten Explorer drilling vessel to TEVA Ship Charter LLC, a joint venture owned 25% by Vantage Drilling and 75% by TotalEnergies. The transaction, whose value was not disclosed, takes place within the context of asset transfers in the offshore sector.
A ten-year management contract
Under the terms of the agreement, Vantage Drilling will continue to provide operational management of the Tungsten Explorer for an initial period of ten years, with an option to extend for an additional five years. This contractual arrangement enables the company to maintain an operational role while sharing ownership with its strategic partner.
The Tungsten Explorer is a deepwater drilling vessel capable of operating on complex offshore projects. Continued management by Vantage Drilling is expected to ensure operational stability while strengthening cooperation with TotalEnergies in the international oil drilling sector.
A balanced joint venture structure
The TEVA Ship Charter LLC joint venture reflects a structure in which both parties retain financial and operational interests in the asset. With a 25%-75% split in favour of TotalEnergies, this model allows Vantage Drilling to reduce its financial exposure while remaining involved in a vessel strategic to its global operations.
Ihab Toma, Chief Executive Officer of Vantage Drilling, stated that this transaction strengthens cooperation between the two companies and paves the way for a long-term relationship. In accordance with regulatory requirements, this sale is subject to the provisions of Section 5-12 of the Norwegian Securities Trading Act.
