Emperor Energy Secures Valaris Rig for Judith-2 Appraisal Well Drilling

Emperor Energy (ASX: EMP) has executed a term sheet with ENSCO Australia, a subsidiary of Valaris, to secure the VALARIS 107 jack-up drilling rig for the Judith-2 appraisal well in Victoria’s offshore Gippsland Basin.

The rig is targeted to drill Judith-2 in April 2027 after completing its current commitments in the basin during March.

Emperor has paid US$1.5 million on execution of the term sheet and will pay a further US$2.0m when the full-form drilling contract is signed.

The booking is intended to secure the rig for the appraisal campaign while Emperor progresses the remaining contractual and environmental approval steps.

Rig Terms Set Campaign

The term sheet secures VALARIS 107 for an estimated 30 days to drill Judith-2 followed by a further 15 days for flow testing.

Emperor also has an option to extend the operation to include an additional side track well if required.

The rig carries an operating day rate of US$165,000, with the US$3.5m in initial payments to be credited against the aggregate value of the drilling contract and further payments due in 2027 before mobilisation.

“The Valaris 107 jack-up drilling rig is operating nearby at a very high level of safety, efficiency, and productivity,” chief executive officer Tim Handley said.

“Securing this drilling rig for April 2027 is a major step forward for Emperor Energy as the company pushes forward towards drilling the Judith-2 appraisal well.“

Approvals Track Toward Drilling

Emperor has resubmitted a revised Environmental Plan (EP) for Judith-2 to the National Offshore Petroleum Safety and Environmental Management Authority after the regulator requested additional information.

The company expects final EP approval by the end of September 2026.

Emperor and Valaris are targeting execution of the full-form drilling contract by 31 October 2026, with the remaining contractual terms to be finalised over the next two months.

VALARIS 107 is currently operating elsewhere in the offshore Gippsland Basin and is expected to continue drilling for other operators before moving to Judith-2 for the targeted April campaign.