Publicly listed PT Apexindo Pratama Duta, an oil, gas and geothermal contractor, announced Monday that it had secured a three-year drilling contract from Santos (Sampang) Pty Ltd worth US$170 million.

In a press statement, the company said the drilling project, located in the Java Sea, was expected to commence in the last quarter of this year. A Raniworo jack-up rig would be employed.

"We are delighted to have been able to obtain this contract. It is the largest contract in the company's history," said Hertriono Kartowisastro, Apexindo's president.

The company said that the demand for jack-up rigs worldwide would continue to increase amid higher oil exploration and production in line with higher energy demand.

The worldwide jack-up drilling fleet had virtually reached its maximum utilization rate, and the supply of newly built jack-up rigs was very limited.