Red Emperor Resources jumps as partner signs drilling contract in the Philippines

Shares in Red Emperor Resources jumped over 30% on Tuesday, after the oil explorer said its partner in the Block SC55 project has clinched a deal for a drill ship to carry out work on the site.

In a statement released on Tuesday, the London-listed company said Otto Energy signed a contract with Maersk Drilling to operate the Maersk Venturer ultra-deepwater drill ship, which will drill the Hawkeye-1 exploration well at the site in the Palawin Basin in the Philippines.

The group added that it expected total costs for the well to remain within guidance of $30m (£19.8m) and $35m.

Red Emperor Resources shares were up 36.73% to 3.35p at 14:15 on Tuesday.