Sign up UNITED KINGDOM
Proactive Investors - Run By Investors For Investors

Essar Oil turns to Greka Drilling again

Greka is to do more work on the Raniganj East Block in West Bengal
Essar Oil turns to Greka Drilling again
Essar is a leading producer of coal bed methane in India

Greka Drilling (LON:GDL), the specialised unconventional oil & gas driller, has won a new contract to provide drilling services to Essar Oil.

Essar will be using Greka's services on the Raniganj East Block in West Bengal, India, having previously employed Greka on this project in 2015.

Under the new contract, once mobilised, Greka Drilling will provide two of its high quality semi-automated GD75 rigs to drill vertical and directional wells on a day-rate basis, rather than on a metres drilled basis.

Greka said the drills it intends to use for the job are already in the country.

The contract is for a period of one year and has an estimated value of around US$8 million. The start of drilling operations remains subject to the completion of pre-mobilisation requirements that are currently expected to be complete by end of this quarter.

"The decision by Essar to re-contract Greka Drilling for the Raniganj East project is affirmation of the quality of our technologically advanced GD75 rigs and experienced crews in India.  While we still expect relatively limited activity in H1 2016, we welcome the prospect of new drilling for Essar and further drilling for Green Dragon Gas during the course of the year,” said Randeep Grewal, chairman of Greka Drilling

“In China, 17 LiFaBriC [lined faulted brittle coal] wells remain to be drilled from last year's order for Green Dragon Gas, although the timing of drilling will depend on customer mobilisation instructions. We continue to be optimistic about the prospects for the unconventional gas industry in India and elsewhere and our long-term role in developing this vital domestic major resource as we concurrently continue to do in China," he added.

Essar is a leading producer of coal bed methane in India whose Government has recently reiterated its commitment to developing the country's domestic natural gas resources as a clean fuel.

Shares in Greka Drilling rose 0.5% in the first hour of trading.

John-H.jpg
Why Invest In Greka Drilling Ltd? Read More Here

Register here to be notified of future GDL Company articles
View full GDL profile

Greka Drilling Ltd Timeline

Newswire
September 27 2016
Newswire
February 05 2016

Related Articles

two oil rigs in the North Sea
October 31 2016
The challenging oil and gas markets have forced Plexus to make fundamental changes to its business, changes which it says have made it a stronger company than when the downturn set in
trader celebrating
August 26 2016
San Leon is issuing new shares at 45p which is a 54% premium to the last price before trading was suspended in January.
oil workers
November 25 2016
Field development, exploration and even acquisitions could drive SDX Energy's growth through 2017.

© Proactive Investors 2016

Proactive Investor UK Limited, trading as “Proactiveinvestors United Kingdom”, is Authorised and regulated by the Financial Conduct Authority.
Registered in England with Company Registration number 05639690. Group VAT registration number 872070825 FCA Registration number 559082. You can contact us here.