ONGC Awards CBM Job to Greka

Greka Drilling has been awarded a three-year integrated drilling contract by India's state-owned ONGC at its Bokaro coalbed methane (CBM) block in the eastern Indian state of Jharkhand

Greka, a specialist drilling services provider for Asia's unconventional gas sector, was among 17 bidders that submitted their bids for the contract.

ONGC is expected to issue a letter of intent (LoI) this month, Greka said April 6. A total of 73 wells will be drilled over the next three years. Greka expects to generate revenue of $15mn. Under the contract, the company will deploy one of its purpose built efficient semi-automated GD75 rigs based in India. Greka already has a contract in India with Essar Oil.

Randeep S. Grewal, chairman & CEO of Greka Drilling said that in advanced talks with other oil and gas operators in India to mobilise additional rigs in the country during 2017.

“The Indian government's progressive plan to develop domestic CBM gas resources was demonstrated in March this year when it approved market pricing freedom for all CBM produced and sold in India. This very long awaited policy has been a catalyst to the robust reaction from operators which are aggressively moving forward with their previously shelved drilling plans. In view of this CBM gas pricing reform, we are bullish on the prospect of increasingly providing our specialized drilling services within the niche CBM sector in India,” Grewal said.

Shardul Sharma