Greka Drilling Limited has signed a contract with Essar Oil Limited ("Essar") (the "Contract") a listed Indian company. 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).