The Noble Jim Day, which is currently being constructed in Singapore, is expected to commence drilling operations in the deepwater Gulf of Mexico in the first quarter of 2010.
The original commitment for the rig was announced in March 2007 and the contract was signed in August 2007 with an initial two-year term. The option will extend the contract to 2014.
Under the terms of the original drilling contract, Marathon had the right to elect by June 1, 2008, to extend the contract by an additional two years, to a total of four years. Estimated prospective contract revenues that could be generated over the four-year period are approximately $752 million.
This estimate of contract revenues represents the maximum amount of revenues that may be earned in the applicable contract period, excluding revenues for mobilization, demobilization and cost escalations.
