Saudi Aramco has chartered a jack-up rig from Italy’s Saipem in a three-year deal worth between $200m-300m.

The contract for the Perro Negro 7 has been extended and will start in the second half of 2011. The rig will be used for drilling activities in the waters around Saudi Arabia.

The Perro Negro 7 can be used to drill in depths of up to 375 feet.