CNPC, partners seek workover rigs for Iraq Halfaya
Tender for two workover rigs.
November 3, 2010 10:09 by Reuters
Iraq, China National Petroleum Company and French and Malaysian partners have invited bids from oil service companies to supply two workover rigs as they prepare to start work on the 4.1 billion barrel Halfaya oilfield.
The tender from state-run Maysan Oil Company, along with CNPC, French oil major Total and Malaysian state firm Petronas , closes on Nov. 28, and the offer must remain valid for 90 days after the bid closing date.
“First drilling is supposed to start in November 2010, and three more drilling rigs are to be mobilized in the near future,” the tender documents obtained by Reuters on Tuesday said.
“Therefore, two 750 HP workover rigs are required for well completion, well testing, acidizing and other workover operations in Halfaya oilfield,” it added.
The contract duration will be for one year and may be extended for another year.
CNPC and its partners had said in August they planned to start drilling new wells in September in Halfaya as part of a plan to boost output to 70,000 barrels per day in 2011 from 3,000 bpd now.
Iraq agreed to pay the companies a fee of $1.40 per barrel. CNPC has a 37.5 percent interest in the consortium, and Total and Petronas have 18.75 percent.
The deal is one of almost a dozen signed by Iraq with global oil companies, which have the potential to catapult its oil output capacity to Saudi levels of 12 million barrels per day within six to seven years.
(Reporting by Ahmed Rasheed; Editing by Michael Christie and Jane Baird)