KS Energy Plans to Expand 'Aggressively,' Adding 2 Rigs a Year
According to an interview published by Reuters, KS Energy Services is hoping to drastically expand the company by adding approximately two rigs to its offshore and onshore oil rig count every year. KS added that the corporation might even take stakes in assets or companies in order to expand in ever-growing oil services market.
"The plan is to add at least a couple of rigs per annum, onshore or offshore," said Kris Wiluan, Chief Executive.
Wiluan stated that since oil prices are reaching an all-time high, the demand for equipment is strong. KS has the opportunity to expand itself by adding more offshore jackup and land rigs. KS even has hopes to acquire semi-subs for deepwater exploration.
Currently, KS Energy's fleet consists of about 20 onshore and offshore rigs. Previously, KS rented these rigs out to major companies, such as BP, China National Offshore Oil Corporation (CNOOC) and AP Moeller-Maersk.
Wiluan stated that at the end of the first quarter, KS had approximately U.S. $65 million in cash reserves and that if the company so wished, it could take a stake in a rig or company and fund the transaction with a combination of both cash and debt.
"We plan to expand aggressively, both organically and through acquisitions, if there is an opportunity," Wilun said.
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