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DJ Seadrill Asia Offshore Drilling Units File For Chapter 11

· 02/08/2021 02:08
By Dominic Chopping

Offshore oil-rig operator Seadrill Ltd. said Sunday that Chapter 11 cases have been filed in the Southern District of Texas in respect of Seadrill's wholly-owned subsidiaries Seadrill GCC Operations Ltd, Asia Offshore Drilling Limited, Asia Offshore Rig 1 Limited, Asia Offshore Rig 2 Limited and Asia Offshore Rig 3 Limited.

Seadrill said the Chapter 11 cases were filed as a protective measure to support its broader comprehensive financial restructuring and will in no way affect the safe and efficient operation of the subsidiaries.

"The company will request authority to pay its key trade creditors and employee wages and benefits without change or interruption and expects it will pay all suppliers and vendors in full under normal terms for goods and services provided during the Chapter 11 cases," it said.

As a consequence of the Chapter 11 filings, the forbearance agreement announced by the company on Feb. 3 in respect of nine out of the group's twelve senior secured credit facility agreements has terminated, it added.

Write to Dominic Chopping at dominic.chopping@wsj.com

(END) Dow Jones Newswires

February 08, 2021 02:08 ET (07:08 GMT)

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