KCA Deutag wins international drilling contracts worth $110m

KCA Deutag’s (KCAD) land drilling operation has been awarded new contracts and contract extensions worth $110m to perform onshore drilling in the Middle East, Russia and Africa.

In the Middle East, KCAD secured seven years of contract extensions for five heavy rigs operating in Oman.

The company also won a contract from an unidentified customer in Oman to supply a 2,000hp rig for a period of six months.

KCAD increased its Oman-based drilling rig fleet to 24, following the acquisition of the Omani and Saudi Arabian businesses of Dalma Energy last year.

The Russian contract requires KCAD to provide a 1,000hp drilling rig to an integrated oil company for one year.

KCA Deutag Land president Simon Drew said: “We are delighted to announce these contract awards and look forward to delivering value for our clients through safe, effective and trouble-free operations.”

Under a contract award in Nigeria, KCAD will offer a 700hp rig to conduct a workover programme. The one-year contract includes an option to extend for an additional year.

A 1,500hp rig has also been contracted for a three-month programme. The contract comes after the rig was previously awarded a contract in the same location.

In addition, the firm won a short-term contract extension in Algeria for one of its 1,500hp Speed rigs.

Operating through four divisions, KCAD has a fleet of 110 drilling rigs in 20 countries.

Headquartered in Aberdeen, the company offers drilling and engineering contract services to clients in the onshore and offshore oil and gas industry.