Awilco CEO Resigns Amid Keppel Dispute

The CEO of Norwegian drilling rig owner Awilco Drilling, Jens Berge, has left the company to "pursue other opportunities," amid a dispute with Singaporean shipyard Keppel over contract cancellations.

Eric Jacobs, general counsel at Awilco's parent company Awilhelmsen Group, will serve as interim CEO until a permanent replacement is found. Keppel terminated Awilco's order for the Nordic Spring semi-submersible rig in December, after concluding that Awilco would be unable to meet the next payment instalment. Earlier last year Keppel had launched arbitration proceedings over Awilco's decision to axe a contract for the Nordic Winter semi-sub.

The conflict has put significant pressure on Awilco, which only has two rigs in operation.

"With the cancellation of Awilco Drilling’s newbuild rigs, I feel that the prerequisites for my role have changed significantly," Berge said in a statement. "The company has reached a crossroads and I have concluded that I would like to pursue new opportunities. However, Awilco Drilling is a great company and I wish the company and its skilled employees all the best."