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QGOG: Helicopter-Transportable Onshore Rigs Arrive in Brazil


Queiroz Galvao Oleo e Gas (QGOG) announced the arrival of three new helicopter-transportable onshore drilling rigs from China, including the QG-V rig leased to Petrobras, and the QG-VIII and QG-IX rigs leased to HRT Participacoes em Petroleo (HRT), a new client for QGOG.

The new drilling rigs are uniquely designed to meet the challenging requirements for projects in remote regions of the Amazon, and include deep-drilling capacity and ease of transportability. The rigs, built by HongHua of China, a company that has developed other onshore rigs for the Company, are able to drill wells of up to 4,500 meters and can be moved in modules of up to 2,500 Kg, enabling them to be transported by helicopter to remote, difficult-to-access locations. The rigs are also equipped with advanced technologies to increase safety and operational efficiency. The rigs are expected to be operational in May 2011.

“With six onshore rigs in operation, the arrival of these new state-of-the-art rigs increases QGOG’s onshore activity by 50% and strengthens its position in Brazil as the leading provider of onshore oil and gas drilling and production services,” stated Leduvy Gouvea, Chief Executive Officer. “We look forward to having these rigs come on-line in the near term.”

“Although there was industry demand for helicopter-transportable rigs, there were no manufacturers anywhere in the world that had developed them to the specifications required for operations in remote areas of the Amazon,” commented Luiz Alberto Andres, Operations Officer. “We and our Chinese partner, HongHua, collaborated to design and produce these unique new rigs specifically for our customers’ Amazon projects.”

The investment by QGOG in the QG-V, QG-VIII and QG-IX rigs was approximately US $51.0 million.

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