China-based Honghua Group won a $320 million construction contract Saturday with Mississippi-based Orion Engineering and Management.
Honghua Offshore Oil & Gas Equipment, an indirect wholly-owned subsidiary of Honghua, will construct a semi-submersible drilling rig for Orion.
The specifications of the rig’s design weren’t released.
The companies didn’t say where the rig would be deployed after construction.
The agreement is expected to be executed within 60 days.
Orion has the option to buy three additional offshore rigs with the same specifications as the first rig. The additional rigs would be purchased under the same contract conditions at a six month interval.
Singapore-based Opus Offshore will supervise the construction of the rig.
Honghua primarily builds onshore drilling rigs and also provides maintenance and service for rigs in operation.
Orion provides a range of petrochemical services including consulting, engineering and construction services for small and medium sized projects.