Valaris Limited announced today that it has been awarded a five‑well contract with BP Exploration Delta Limited for its drillship VALARIS DS‑12 in Egypt. The agreement, valued at approximately $140 million inclusive of a mobilization fee, spans 350 days and includes three option wells, with the contract slated to commence in the second quarter of 2026.
The award adds $140 million to Valaris’s contracted revenue backlog and represents a significant win for the company’s high‑specification drillship fleet. It also reinforces the company’s strategy of securing long‑term work for its four drillships that are currently available for deployment.
Financially, the contract is expected to generate $140 million in revenue over its 350‑day term, providing a predictable cash‑flow stream that will support Valaris’s 2026 operating income and free‑cash‑flow targets. The mobilization fee and option wells further enhance the contract’s value proposition for both Valaris and BP.
The DS‑12 contract follows a successful exploration campaign with BP in the region, positioning Valaris to return the rig to Egypt and capitalize on the growing demand for deep‑water drilling services in West Africa. With all four drillships now booked for near‑term availability, this new award strengthens Valaris’s backlog and underpins its outlook for the 2026‑2027 offshore upcycle.
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