BW Energy Inks Sale-Leaseback Deal for Jack-Up Rig

BW Energy has signed a sale and leaseback agreement with Minsheng Financial Leasing (MSFL) for the Jasmine Alpha jack-up drilling rig, receiving an $80 million cash consideration. The agreement allows BW Energy to maintain access to the unit while strengthening its financial flexibility. The company expects to recognize an equity gain above the carrying value of the rig, reflecting the value increase since its acquisition in 2020. The transaction builds on BW Energy's established partnership with MSFL, including the ongoing financing of the Maromba B wellhead platform. The deal demonstrates BW Energy's ability to execute flexible and competitive infrastructure financing solutions in support of its plan to triple production in 2028. The lease agreement has a 12-month term with an option to extend for a further 12 months.

Counterparts (2)

borrower

BW Energy

company

Lender

Minsheng Financial Leasing (MSFL)

company

Minsheng Financial Leasing (MSFL) is a financial leasing company based in Shanghai, China, established in 2008. It operates across various sectors, including infrastructure, with a focus on providing financial solutions for large-scale projects.