Caledus Launches Joint Venture, Enters New Markets
A three-year strategic vision from Caledus, the Aberdeen headquartered well construction technology oil and gas service sector business, is reaping benefits with the launch of a joint venture company, entry into new markets and an innovative technology.
Earlier this year the company unveiled plans for significant global expansion with forecasts of 250 employees worldwide and turnover of £50 million in 2012.
As part of the strategy, Caledus is forming a joint venture with Malaysian oil and gas service sector company Deleum Berhad. Headquartered in Kuala Lumpur the joint venture will see Caledus significantly enhance its existing profile in Malaysia, Miri, Indonesia and Brunei and expand into Thailand, Vietnam and Myanmar. Up to 20 jobs will be created in the initial phase of the joint venture with a large majority being drawn from the local market. Deleum has over 20 years of oil and gas experience in Malaysia and the surrounding region and is headed up by Chandran Aloysius Rajadurai, Group Managing Director. Chandran, GMD said "We have worked closely with Caledus for the past three years acting as their agent, both companies now feel is it appropriate to enhance that relationship and a JV is the vehicle that we have chosen together.
Also in line with the vision, Caledus has announced its entry into the drilling with casing and liner market with the establishment of a new product line -- the DragonBITEÔ Drill Shoe. DragonBITEÔ will complement the company’s existing well construction technologies, TD SOLUTIONS™ and SlimWELL®. TD SOLUTIONS™ is a range of individual down hole products and services to reduce non productive time. SlimWELL® slims down the well profile while maintaining well integrity and intervention ability without reducing the final hole size. SlimWELL® has the potential to reduce well construction costs by up to 50 percent, enhances safety and reduces environmental impact.
The new technology is also seen as having an important role to play in proposals by Caledus to create a Slender Well Alliance -- a grouping of like-minded companies, products and services that are focused on the development of lean profile, slender wells. Plans for the Slender Well Alliance are well advanced and it is anticipated that more details will be revealed later this year.
Paul Howlett, CEO and co founder of Caledus said, "Our vision stated that we would look to enhance organic business growth with strategic alliances and acquisitions, and a joint venture with Deleum is proof of that commitment. The Asian market has held up relatively well in terms of the global oil and gas industry and we see tremendous potential for our products in this arena.
"The establishment of DragonBITEÔ and our entry into drilling with casing and liner market was a logical progression in our suite of well construction technology, and again ties in with our strategic commitment to incorporate new product lines where appropriate to enhance the business. There is a significant demand for this technology particularly, in Asia and offshore and onshore North America.
"Casing and liner drilling, enhanced by the services offered by TD SOLUTIONS™ and SlimWELL®, will form an integral part of our proposed Slender Well Alliance. We are extremely excited about this concept which will bring together a range of products and services to create a slender well solution for the operating community."