Parker to Design Drilling Package Offshore Russia

Parker Drilling Company announced today a new contract to design the drilling package for the Sakhalin-1 Arkutun-Dagi offshore platform.

The Arkutun-Dagi Field, offshore Sakhalin Island, Russia, is one of the three offshore fields to be developed by the Sakhalin-1 project, which when combined with the Chayvo and Odoptu fields has recoverable reserves of 2.3 billion barrels of oil and 17.1 trillion cubic feet of gas. All three fields are being developed by the Sakhalin-1 Consortium and operated by Exxon Neftegas Limited. Arkutun-Dagi is located approximately 15.5 miles east of the Chayvo Field offshore Sakhalin Island.

Parker will design a complete drilling package, including the derrick, pipe barn, substructure, well control system and mud system. Parker engineers will also ensure seamless integration of the drilling systems with the main topsides design, provided by Sakneftegaz Engineering LLC.

David C. Mannon, Parker Drilling President and COO, said, "The Arkutun-Dagi project is the newest chapter in our 40-year history of arctic drilling projects, which includes the FEED (Front-End Engineering and Design), EPCI (Engineering, Procurement, Construction and Installation), and Operations and Management projects for the Yastreb extended-reach drilling rig in the Chayvo field, also for the Sakhalin-1 Consortium.

"The Arkutun-Dagi project is also the newest addition to our growing Project Management business, which includes the FEED and recently announced EPCI contract for the Liberty ultra extended-reach drilling rig in the Alaskan Beaufort Sea.

"These new contracts are attributable to our proven arctic drilling solutions and the Yastreb's record-breaking performances in extended-reach drilling. Our competitive advantage is built on our successful track record in these types of projects. As the search for oil and gas continues to lead into remote and environmentally extreme locations, major and national oil companies increasingly rely on Parker for innovative design and development technology," Mannon concluded.