Tesco Awarded Algerian Drilling Contract
The Company has entered into an agreement with Steppe Forage, a major Algerian water well drilling contractor, to Casing Drill(TM) six water wells in western Algeria. Tesco will provide a top drive together with a 13 3/8 in. Casing Drilling(TM) assembly. The contract will be performed over a period of approximately six months and is valued at about Cdn. $1.5 million.
This will be the first time that the Casing Drilling(TM) process has been used on a water-well drilling program, and the first time the Company has drilled with casing outside of North America.
Fresh water is becoming an increasingly precious commodity in many parts of the world, particularly in the North Sahara. The Company views this contract as an opportunity to showcase its technology in an important new market. Tesco also expects the project to attract the interest of Sonatrach, Algeria's national oil company. Enafor, Sonatrach's drilling division, has sub-contracted the rig which will be used on this program.