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FINANCIAL NEWS
Saudi Aramco grants contract to Baker Hughes
26 Feb 2010
(MENAFN) Saudi Aramco announced that is has awarded Baker Hughes a two-year contract for projects designed to re-enter existing wells in the gas fields of southern Saudi Arabia, TradeArabia reported.
Under the deal of the two fit-for-purpose underbalanced coiled tubing drilling packages, Baker Hughes will provide project management oversight and downhole drilling and completion services, including CoilTrak, a steerable drilling system deployed on coiled tubing.
The pact has an option for a one-year extension and operations are slated to start in the second quarter this year. The financial value of the deal hasn’t been disclosed.
Saudi Aramco plans to re-enter existing wells and drill horizontally into untapped reservoir sections. The oil giant said that the horizontal wells will be drilled underbalanced to minimize damage to the reservoir, which is critical to overall reserve recovery.
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