LONDON (Alliance News) - Green Dragon Gas Ltd Wednesday said it has made an initial order for Greka Drilling Limited to drill 10 LiFaBriC wells in a deal worth USD15 million.
LiFaBriC is an adaptation of the horizontal drilling methods traditionally used for drilling in coal seam reservoirs and is designed to provide a precise and high quality well completion technique.
Through rigorous pre-engineering of each well, engineers are able to use geo-steering techniques to gain a far greater surface area exposure to the coal seam, optimize exposure to natural cleating, penetrate permeability barriers and reduce overall time, risks and costs associated with traditional reservoir stimulation methods.
Green Dragon, which sales coalbed methane gas in China, said the deal will involve 5 rigs being mobilized next month, after the Chinese New Year.
Greka said the deal with its customer is timely as the first quarter is traditionally slow for drilling operations in the region as a result of adverse weather conditions.
Green Dragon shares were trading at 272.90 pence Wednesday morning, up 5.40 pence or 2.0%.
Greka Drilling shares were trading at 13.01 pence or 0.39 pence or 3.1%.
By Anthony Tshibangu; anthonytshibangu@alliancenews.com; @AnthonyAllNews
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