Chevron Extends Shelf Drilling's Rig Contract in Nigeria

Chevron Corporation CVX has awarded Shelf Drilling a one-year contract extension for its Scepter jack-up rig operating offshore Nigeria. The extension will begin immediately after the current contract expires in July 2025. The added contract value is about $50 million, further strengthening the two companies’ ongoing collaboration in offshore drilling.A Strong Partnership Since 2023Chevron initially awarded the two-year contract to Shelf Drilling in 2023, valued at approximately $118 million, including the mobilization fees, with an option for an additional one-year extension. With the option now exercised, the Scepter rig, which was scheduled to stay till July 2025 for Chevron, will now be extended till July 2026.An Overview of Scepter Jack-up RigShelf Drilling’s Scepter jack-up rig is of Keppel FELS Super B Class design, which was built in 2008 and upgraded in 2019. It boasts a maximum drilling depth of 35,000 feet and operates in water depths of up to 350 feet. Designed to accommodate 150 personnel, the rig is a crucial asset in Nigeria’s offshore drilling sector.Chevron announced this contract extension immediately after Shelf Drilling and Arabian Drilling planned to extend their offshore drilling footprint by combining resources and deploying some of the latter’s premium jack-up rigs internationally. Therefore, this contract extension validates the capabilities of both companies to expand their reach globally.CVX’s Zacks Rank and Key PicksHouston, TX-based Chevron is one of the largest publicly traded oil and gas companiesthat participates in every aspect related to energy —from oil production to refining and marketing. Currently, CVX has a Zacks Rank #3 (Hold).Investors interested in the energy sector might look at some top-ranked stocks like SM Energy Company SM, Prairie Operating Co. PROP and Gulfport Energy Corporation GPOR.While SM Energy and PROP currently sport a Zacks Rank #1 (Strong Buy) each, Gulfport Energy carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.Denver, CO-based SM Energy Company is an independent oil and gas company engaged in the exploration, exploitation, development, acquisition and production of natural gas and crude oil in North America. The Zacks Consensus Estimate for SM’s 2024 earnings indicates 15.11% year-over-year growth.Houston-based Prairie Operating is an independent energy company engaged in the development and acquisition of proven, producing oil and natural gas resources principally in the United States. The Zacks Consensus Estimate for PROP’s 2024 earnings indicates 81.19% year-over-year growth.Gulfport Energy is an independent natural gas and oil company focused on the exploration and development of natural gas and oil properties in North America. The Zacks Consensus Estimate for GPOR’s 2024 earnings indicates 108.53% year-over-year growth.Just Released: Zacks Top 10 Stocks for 2025Hurry – you can still get in early on our 10 top tickers for 2025. Handpicked by Zacks Director of Research Sheraz Mian, this portfolio has been stunningly and consistently successful. From inception in 2012 through November, 2024, the Zacks Top 10 Stocks gained +2,112.6%, more than QUADRUPLING the S&P 500’s +475.6%. Sheraz has combed through 4,400 companies covered by the Zacks Rank and handpicked the best 10 to buy and hold in 2025. You can still be among the first to see these just-released stocks with enormous potential. See New Top 10 Stocks >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Chevron Corporation (CVX): Free Stock Analysis Report SM Energy Company (SM): Free Stock Analysis Report Gulfport Energy Corporation (GPOR): Free Stock Analysis Report Prairie Operating Co. (PROP): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks