Shell Extends Contract for AGR Group's RMR Technology

AGR Group reported the extension of Shell's contract to utilize the RMR in the Australian Browse Basin. The extension is to drill a minimum of 8 more wells over 17 months. Currently the RMR is being installed on the Frontier Discoverer drill ship in Singapore, and will move on site in April.

This builds on the RMR's penetration into the Australasian market, with contracts in late 2007 with ENI and Nexus to drill one and two wells respectively.

Tom Hasler, General Manager AGR Drilling Services Asia Pacific, said "Shell has chosen to renew its use of the RMR because of its proven capacity to reduce the risk of drilling in the region, having previously drilled 9 wells in Australia with the technology."

"The RMR technology is rapidly proving itself as a 'game changing' technology for operators undertaking offshore drilling in the Asia Pacific region. Some of our clients are utilising the technology for the commercial benefits of saving a casing string, some to reduce the risk associated with shallow hazards, and some to perform zero discharge drilling for environmental reasons. This wide range of complimentary benefits offered by the technology is the key to its market growth. In addition, with utilisation on jackups, the RMR's prospective market has expanded significantly."

The RMR has been used to drill 59 wells for clients including BP, Shell, Total and Statoil. In addition to the Asia-Pacific, It has been used in locations around the globe, including the North Sea, the Barents Sea and the Caspian Sea.

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