(Adds details of settlement)
HOUSTON, Dec 8 (Reuters) - Drilling contractor NobleCorporation PLC on Monday said it paid $12.2 million tosettle felony charges by the U.S. Department of Justice relatedto safety, environmental and record keeping violations onvessels in Arctic waters off Alaska in 2012.
During 2012, the Noble Discoverer drillship experiencednumerous problems with its main propulsion system, including itsmain engine, resulting in engine shut-downs, equipment failures,and unsafe conditions, according to prosecutors.
Noble acknowledges that it failed to report any of thesehazardous conditions to the U.S. Coast Guard, according to DOJ.
The Noble Discoverer was contracted by Royal Dutch Shell PLC to work on Shell leases in the remote Chukchi Sea offnorthwestern Alaska.
Charges also relate to Noble's operation of the Shell-owneddrilling unit Kulluk, which ran aground in December 2012 afterwork in the Beaufort Sea. Noble failed to keep proper records onboth vessels, prosecutors said.
Under the terms of the plea agreement, Noble will pleadguilty to eight felony offenses, pay $8.2 million in fines and$4 million in community service payments.
The London-based company is also required to implement acomprehensive environmental compliance plan, and will be placedon probation for four years.
A spokesman for Noble said the company has made significantimprovements to the Noble Discoverer since it entered theshipyard in 2013. (Reporting by Anna Driver; Editing by Marguerita Choy)
