CGX Energy Announces Drilling Rig LOI

By MarEx 2014-06-03 11:36:00

 CGX Energy Inc. (TSX-V - OYL) ("CGX Energy" or the "Company") is pleased to announce that it has entered into a binding letter of intent ("LOI") with Teikoku Oil (Suriname) Co., Ltd., a wholly-owned subsidiary of INPEX Corporation ("INPEX" and CGX Energy, the "Rig Sharing Group"), and Japan Drilling Co., Ltd. ("JDC"), for use of the jack-up drilling rig known as the "Hakuryu-12" rig.

The LOI forms the basis of the definitive rig agreements between JDC and each of the members of the Rig Sharing Group.  The members of the Rig Sharing Group are required to enter into definitive rig agreements with JDC in order to reduce mobilization and demobilization costs.  The Hakuryu-12 rig will be delivered to Trinidad between April 1, 2015 and May 1, 2015.

Dewi Jones, Chief Executive Officer of the Company, commented:  "This LOI represents the next step in drilling at our 100% owned Corentyne Block.  Being a part of the Rig Sharing Group means that CGX Energy will benefit from significantly reduced mobilization and demobilization costs typically associated with offshore drilling. The Hakuryu-12 rig is a jack-up rig that fits the Company's well design specifications."

The products and services herein described in this press release are not endorsed by The Maritime Executive.