KUALA LUMPUR (Oct 28): UMW Oil and Gas Corporation Bhd (UMWOG) has bagged a drilling rig services contract from Petronas Carigali Sdn Bhd (PCSB) for an undisclosed value.

In a filing with Bursa Malaysia today, UMWOG said its unit UMW Offshore Drilling Sdn Bhd has received a letter of award from PCSB for the contract for the provision of a jack-up drilling rig.

"The contract is for the provision of drilling rig services for PCSB's drilling programme, whereby UMWOG Group will assign its UMW NAGA 7 for this contract," it said.

The contract is for seven firm wells with extension option of one plus one well, and an estimated duration of minimum one month for each well, it added.

The contract commenced on Oct 15, 2015, UMWOG said.

UMW NAGA 7 is a premium independent-leg cantilever jack-up rig that has a drilling depth capability of 30,000 feet and has a rated operating water depth of 375 feet.

On earnings impact, UMWOG expects the contract to contribute positively to its earnings and net assets for the financial years ending Dec 31, 2015 (FY15) and FY16.

Shares in UMWOG closed down two sen or 1.68% at RM1.17, for a market capitalisation of RM2.53 billion.

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