Greka Drilling Limited has signed a contract with Essar Oil Limited. The Company is to provide turnkey and allied services to Essar in India, and is contracted to drill 100 wells with the Contract value estimated at around US$ 65 million. The Contract is expected to be completed by the end of 2014.
The Company plans to relocate 5 GD75 rigs from its current fleet in China to meet the client’s desire to expeditiously start their drilling program. The current program is to drill a combination of vertical, directional and LiFaBriC wells at the client’s election. Drilling operations are expected to start in the second quarter of 2014 subject to various pre-mobilization requirements being completed with the client prior to yearend. This continuous drilling program is to be implemented in Essar’s Raniganj block in West Bengal, Block RG (East).
The deployment of these rigs will not affect ongoing drilling campaigns for customers in China during 2014.
Mr. Randeep S. Grewal, Chairman and CEO of Greka Drilling, commented;
“This is yet another milestone completed within the envisioned timeline for Greka Drilling. The Company has a clear objective of diversifying its client base, geographical operations and drilling completions. This Contract achieves all such objectives. We look forward to adding value to Essar’s objectives in producing significant commercial volumes of coal bed methane from its large acreage position in the Raniganj block. Our successful track record to date in China and fifteen years of specialized CBM knowledge enabled us to achieve a rapid understanding of the strata we expect to be drilling under this contract. We provide our clients with the very best technology and methodology available in the industry and are confident that our rigs, skilled personnel and management will provide the same safe, environmentally progressive and efficient drilling operations for Essar in India as we do for a number of our clients in China.”
