Shares of Singapore oil rig builders Keppel Corp <KPLM.SI> and Sembcorp Marine <SCMN.SI> surged on Wednesday after the U.S. administration removed its ban on deepwater drilling, lifting sentiment on oil and gas stocks.

Keppel Corp rose as much as 2.5% and Sembcorp Marine was up as much as 2.1%.

 

At 0236 GMT, Keppel Corp shares were trading at $9.66 on a volume of 2.3 million shares and Sembcorp Marine at $4.36 with 2.6 million shares changing hands.

 

“The decision to lift the moratorium on deepsea drilling added more fuel to oil and gas stocks,” said a local trader.

 

The Obama administration lifted its ban on deepwater drilling on Tuesday, seven weeks ahead of schedule.