Gulf Oil and Gas accountACCOUNT

Canelson Signs Five Drilling Rigs Contracts

Source: www.gulfoilandgas.com 11/5/2014, Location: North America

CanElson Drilling Inc. has signed five drilling rigs to long-term contracts, including three previously disclosed and under construction, as well as two new builds.

"We continue to expand our footprint in our core areas of operation" said Randy Hawkings, President and CEO. "Our focus remains on providing lower overall well costs to our customers by being measurably more efficient in the drilling process and we believe that these contracts are a reflection of our customers trust in us to deliver long term cost savings."

FUTURE NEW BUILD STATUS

CanElson has signed five drilling rigs to long-term contracts with existing customers, including three previously under construction and two additional new build mechanical heavy duty telescopic doubles ("tele-doubles"). Continued demand for the Company's drilling rigs is based on our strategy to demonstrate efficiency in the drilling process by minimizing non-productive time, to maximize performance while drilling, and to flexibly integrate related equipment, services and contract types into the drilling solution.

CanElson's deployment of new rig builds is as follows:

- Rig #49 (previously announced, Alternating Current Electric (AC) tele-double): Committed to a long term contract and expected to commence operations in British Columbia in Q4 2014.

- Rig #103 (previously announced, AC triple): Committed to a long term contract and expected to commence operations in Texas in Q1 2015.

- Rig #104 (previously announced, AC triple): Committed to a long term contract and expected to commence operations in Texas in Q3 2015.

- Rig #47 (new announcement, tele-double): Committed to a long term contract and expected to commence operations in Texas in Q3 2015.

- Rig #48 (new announcement, tele-double): Committed to a long term contract and expected to commence operations in Texas in Q4 2015.

All five contracts are long term in nature, and meet the Company's economic thresholds. The four rigs which are to be deployed to the Permian Basin of Texas will work year round. In order to accommodate specific customer and geographic requirements, Rig #103 and Rig #104 are now expected to commence operations in Q1 2015 and Q3 2015, respectively. The total incremental capital required to deliver the two new build tele-double rigs is anticipated to be approximately $22 million. CanElson anticipates that it can fund the construction of the aforementioned drilling rigs, the remainder of its capital program which is not related to expansion, as well as the current quarterly dividend through cash flow and existing credit facilities.

Rigs >>

Rigs News in Canada >>

Kuwait >>  12/9/2019 - ADES International Holding PLC, a leading oil & gas drilling and production services provider in the Middle East and North Africa (MENA), has secured ...
Nigeria >>  12/9/2019 - Shelf Drilling, Ltd. has secured a one-year extension on the Trident XIV jack-up rig in direct continuation of its current contract for workover opera...

United States >>  11/25/2019 - Valaris plc (VAL) (Valaris) announced new contracts and contract extensions, with associated revenue backlog of approximately $285 million, awarded su...
Nigeria >>  11/18/2019 - KCA Deutag (KCAD) announces that its land drilling operation has won new contracts worth approximately $460m in the Middle East, Africa and Europe. ...

Indonesia >>  11/15/2019 - Jack-up drilling rig "HAKURYU-14" currently operating at Mahakam Block, Republic of Indonesia has been awarded a one-year contract extension by PT PER...
United Arab Emirates >>  11/14/2019 - ADNOC Drilling, a subsidiary of the Abu Dhabi National Oil Company (ADNOC), announced a major rig fleet expansion program to support ADNOCís upstream ...

Related Categories: General  Rig Equipment  Rig Operators  Rigs, Coring & Exploration 

Related Articles: General  Rig Equipment  Rig Operators  Rigs, Coring & Exploration 


Canada Oil & Gas 1 >>  2 | 3 | 4 | 5 | 6 | 7 | 8 | 9 | 10 | 11 | 12 | 13 |

More News

Related Links

Gulf Oil and Gas
Copyright © 2019 Universal Solutions All rights reserved. - Terms of Service - Privacy Policy.