NIDC to Finalize Deal With 3 Italian Companies

Negotiations are underway between National Iranian Drilling Company and three Italian companies, namely Agip, Saipem and Drillmec to finalize a memorandum of understanding on cooperation between the four sides.

Mohammadreza Takaidi, NIDC deputy CEO, spoke about the cooperation agreement on the sidelines of an exhibition on oil drilling equipment in Ahvaz in the southwestern province of Khuzestan on Friday, Shana reported.

Takaidi noted that based on the agreement, the Italian companies will provide NIDC with financial and technical support. He expressed the hope that NIDC could sign preliminary agreements with the Italian companies in the near future.

He added that plans call for promoting drilling efficiency in the South Azadegan Oilfield by increasing the number of hours for extra drilling operations.

"Plans call for boosting the pace of drilling to 10 meters an hour from 5 meters now," Takaidi said, adding that the NIDC wants to cut drilling costs in the new oil wells.

National Iranian Drilling Company recently won a tender that involved the drilling of 20 wells in Azadegan field.

"The drilling project will be implemented in the form of a turnkey contract, whereby NIDC will design, procure and install the equipment and provide engineering services," Takaidi said.

Pointing to the presence of his company in tenders in Iraq, Oman, Armenia and Kuwait, he said, "NIDC will continue talks with foreign companies for drilling projects in the region."

Takaidi believes that during the sanctions Iran was deprived of modern drilling technology. "But in the post-sanctions era it is crucial that we acquire advanced drilling equipment and knowhow."

South Azadegan Oilfield is located 80 kilometers west of Ahvaz in Khuzestan along the border with Iraq.

The 14th Specialized Drilling Industry Exhibition of Ahvaz was held this week concurrent with the 37th anniversary of the National Iranian Drilling Company. A total of 160 domestic and international companies participated in the exhibition.