Seadrill Ltd. has emerged because the shopper who agreed to postpone supply of two ultra-deepwater drillships underneath development on the South Korean shipyard Daewoo Shipbuilding and Marine Engineering (DSME). 

The offshore drilling contractor confirmed through a press release Friday that it reached an settlement with DSME to defer the supply of the 2 drillships, the West Aquila and West Libra, till the second quarter of 2018 and first quarter of 2019 respectively, 

The two drillships have been initially scheduled for supply by the tip of the second quarter of 2016 together with the ultimate fee of $800 million. 

Seadrill says the settlement will present it with much-needed close to time period liquidity by deferring its capex commitments to 2018 and 2019, with no funds as a result of yard till that point. 

Despite the seemingly excellent news, Seadrill’s inventory took a beating on Friday, falling about 10% by noon as oil fell beneath $30 barrel.  

We first bought wind of the postponed deliveries on Wednesday when DSME mentioned it had agreed with a global shopper to postpone supply of two drillships by as much as three years. The world’s quantity two shipbuilder has been struggling for the previous yr as a consequence of crashing oil costs that has led to a severely weakened offshore sector. In October, collectors agreed to $3.7 billion rescue bundle that might give the shipyard the money it wants to finish offshore initiatives not already delayed or cancelled.