Noble Corp said Hyundai Heavy Industries will build two ultra-deepwater drillships for the world's second largest offshore drilling contractor by fleet size for about $1.21 billion.

Wednesday's news, along with recent orders from Dryships, Pride International, and Norway's Seadrill, bolsters the belief the Gulf of Mexico deepwater market will continue to rebound despite reversals following the oil spill in April last year.

Under the contract, the rigs - designed to work in water-depths of up to 12,000 feet - will likely be delivered in the second and fourth quarters of 2013.
The $605-million rigs are likely to commence operations by 90-120 days after delivery, Switzerland-based Noble said. The deal includes a fixed-price option for up to two more drillships, to be declared by May 2011 for 2014, it added.

"The fundamentals of the global ultra-deepwater market will continue to be strong in the decade ahead," Noble Chief Executive David Williams said.