Australia’s Beach Energy, operator of the Victorian Otway Basin Joint Venture, says that it will defend claims brought against it by Diamond Offshore Drilling over the termination of 2013-built semi-submersible rig Ocean Onyx .

Beach Energy terminated the contract earlier this month, stating that the arrival date of the rig was later than had been agreed and specified in the rig contract. Beach Energy did not accept the rig, and exercised its right to terminate the agreement.

Diamond, which filed for chapter 11 on Sunday, has filed a complaint in the Bankruptcy Court seeking a determination that the termination by Beach is invalid and that the drilling contract remains in effect.

Diamond is seeking damages, however Beach denies the claim and said it will defend any claim brought against it over the termination.