Parker Drilling wins 7-year Hibernia drilling contract

Hibernia Management and Development Company Ltd. has awarded a seven year contract to Parker Drilling Canada for drilling services on the Hibernia offshore platform.

• A crown jewel for ExxonMobil: Hibernia a quiet workhorse in N.L.'s offshore

Parker Drilling, based out of Houston, Texas,will take over the contract starting July 1, CBC has learned.

The shake-up means the companywill take over from Paragon Offshoreformerly known as Noble Drilling which has held the contract for many years.

The news willcome as a surprise to many industry insiders, whosuspected KCA Deutag would getthe contract.KCA Deutag won a similar contract for the Hebron Project, which is now under construction and scheduled become the province's fourth producing oil field late next year.

The Hiberniaplatform has been operating in the Newfoundland offshore for 19 years, and is expected to produce its one billionth barrel of oil by next year.

Up to the end of 2014, the provincial government reported that the value of oil produced at Hiberniahadexceeded$63 billion.