Essar Shipping to to invest 400 mn dollars
Essar Shipping and Logistics Ltd on Monday said it will invest $400 million for acquiring onshore and offshore oil drilling rigs.
By PTI |
NEW DELHI: Essar Shipping and Logistics Ltd on Monday said it will invest $400 million for acquiring onshore and offshore oil drilling rigs.
The Cyprus-registered firm has formed Essar Oilfields Services Ltd to focus on international and Indian onshore and offshore oil and gas drilling business.
"EOSL's investment plan includes acquisition of a diversified fleet of rigs, for inland as well as offshore drilling," a company press release said here.
Essar plans to encash the upsurge in oil and gas exploration and production activity around the world, including in India. Increased E&P activity has seen rig utilisation rates in excess of 98 per cent.
"This demand for the drilling rigs is forecast to sustain over the next 3-5 years. The contract drilling rates have nearly doubled in the last three years and we forecast they will remain robust," the release said.
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EOSL, whose operations are run out of its office in Dubai, UAE, will employ the rigs of Essar's E&P activity as well as contract drilling for third parties.Start a SIP with as low as ₹500 with ET Money App!
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