Essar Oilfields Services Limited (EOSL), has been awarded a drilling contract from Gujarat State Petroleum Corporation Limited (GSPC) for drilling in the Krishna Godavari (KG) basin on the east coast of India.
The work will involve drilling up to depths of (5600 meters) and is for a period of two years with an option to extend by a year each for two more years.
The contract is valued at approx. US $ 250 million for a two year period.
The bid was done based on international competitive bidding with renowned companies like Tran Ocean and Sea Drill of USA and Japan Drilling from Japan.
In order to execute the contract, EOSL has recently acquired a semi-submersible rig named "Essar Wildcat". The rig acquired at a cost of US $ 220 million, is an anchor moored, self propelled drilling rig suitable for deployment in water depths of 1350 ft and can be upgraded for deeper waters. The rig has a drilling depth capacity of 25,000 ft. The rig is equipped with top drive, automatic pipe handling systems and rough weather bop launch system.
This contract will enable Essar to quickly re-establish itself as a globally preferred drilling contractor. Essar has considerable experience and an excellent track record in contract drilling services. It was the first Indian company to offer contract drilling services in 1985 both for onshore as well as offshore E&P activity.
Essar Shipping & Logistics Limited (ESLL) is a part of Essar Global Limited. ESLL has four operating companies under its umbrella:
Essar Oilfields Services Limited (EOSL) - Wholly owned subsidiary of ESLL will focus on offshore and onshore drilling activities.
Vadinar Oil Terminal Limited (VOTL) - Wholly owned subsidiary of ESLL with a focus on investments in crude and product terminals. VOTL has set up a 32 million tonne terminal with crude reception and crude and product storage facility at Vadinar, Gujarat, India
Essar Logistics Limited (ELL) - Wholly owned subsidiary of ESLL carrier out the business of logistics management, transshipment and cargo handling services.
Essar Shipping Limited (ESL) - ESL owns and operates 26 ships including, VLCCs, product tankers and bulk carriers.
About Essar Global
Essar Global is an international conglomerate operating in six business areas - steel, oil & gas, power, telecom & BPO, shipping and construction with an asset base in excess of US $ 6 billion. It has representative offices world-wide and employs approximately 15,000 people.