John Fredriksen's attempts to ensure a future for the prize asset in his empire, one of the world largest drilling companies, Seadrill, face more challenges than the company had anticipated. In the annual report for 2016, Seadrill talks openly about the risk of impending Chapter 11 proceedings, if the company is unable to settle a satisfactory deal with its creditors.

"Discussions with the banks, potential new money investors, the advisers to the ad hoc committee of bondholders and Hemen Holdings Ltd. continue. Given timing, however, it will be challenging for the Company to finalize a fully consensual agreement before 30 April 2017, which is the maturity date of the West Eminence facility and also a milestone under the bank facility amendments entered into in April 2016. Although an extension of these and other dates is possible with the requisite lender consents, we may be unable to obtain an extension on terms acceptable to the Company. In the event a consensual restructuring agreement is not concluded or an agreement to an extension is not reached, we are also preparing various contingency plans, including potential schemes of arrangement or chapter 11 proceedings," as the company writes in the report.