Emperor Energy signs contract for Judith-2 appraisal well for drilling rig off coast of Victoria

• Full form contract to secure the Valaris107 jack-up drilling rig
• Valaris107 jis currently operating in the offshore Gippsland Basin
• Expected to become available following completion of current commitments in April 2027
• Judith-2 drilling environment plan was approved in late September

Emperor Energy (ASX: EMP) has executed a contract with ENSCO Australia to secure the Valaris107 jack-up drilling rig to drill the Judith-2 appraisal well offshore Victoria.

The contract secures the availability of the jack-up rig for a minimum period of 30 days to drill the well and a subsequent optional 15 days for flow testing with the rig scheduled to be available from April 2027.

Upon execution of the contract Emperor has paid ENSCO’s parent Valaris US$2 million. This is in addition to the US$1.5 million paid upon execution of the prior term sheet in early September.

The operating day rate for Valaris 107 is US$165,000, with the total of US$3.5 million in payments credited against the aggregate value of the drilling contract. Further contract payments to Valaris will then occur in 2027 prior to the April mobilisation of the drilling rig.

Valaris 107 is currently operating in the offshore Gippsland Basin and will continue to undertake further drilling activities in the region for other operators before moving to the Judith-2 appraisal well.

“The Valaris 107 jack-up drilling rig is operating nearby at a very high level of safety, efficiency and productivity,” Emperor Energy CEO, Tim Handley, said.

“Securing this drilling rig for April 2027 is a major step forward for Emperor Energy as the company pushes forward towards drilling the Judith-2 appraisal well.“

The Judith-2 appraisal well drilling environmental plan (EP) was approved by the National Offshore Petroleum Safety and Environmental Management Authority (NOPSEMA) in late September providing Emperor Energy with the key drilling approval required for the Judith-2 well.

The Judith-2 appraisal well is located in permit VIC/P47 within the Gippsland Basin, located approximately 36–37 km south of Marlo and 46 km southeast of Lakes Entrance in Victoria.

EMP was up 2.35% to 8.7¢. Mkt cap $85.95M.

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