First Nigerian Firm To Provide LWD Technology to International Oil Majors
FOR IMMEDIATE RELEASE July 18, 2007
Phil Cogan - 202-565-3200
State-of-the-art U.S.-made oil well measurement technology has been sold to Nigerian-based Drillog Petro-Dynamics Ltd. in Port Harcourt, Nigeria with the help of a $13.1 million loan guarantee from Ex-Im Bank. These are Logging While Drilling (LWD) tools. They each measure a different characteristic of the underground formations (materials) around the well. Put together, these different measurements indicate the likely location of oil and gas. (Photo: Halliburton Energy Services)
This transaction supports U.S. jobs, and also equips Drillog Petro-Dynamics to be the first Nigerian local service company to offer these advanced drilling services to oil majors, said Ex-Im Bank Chairman and President James H. Lambright. We believe African markets offer great potential for American exporters, and our financing support can help make more transactions like this a reality.
HSBC Bank PLC, London, is the guaranteed lender on the transaction. Nigeria's Diamond Bank is the borrower.
Halliburton will provide Logging While Drilling (LWD) technology and equipment to capture information about the drilling process, well geometry, and rock and fluid properties at the well. Drillog Petro-Dynamics also will receive a service and training platform for its engineers, and the rights for 2 ½ years to bid, on a right-of-first-refusal basis with Halliburton, for oil service contracts tendered by oil majors in Nigeria, where LWD services are being requested.
Ex-Im Bank, an independent federal government agency, this year marks its 72nd year of helping finance the sale of U.S. exports, primarily to emerging markets throughout the world. The Bank last year authorized over $12.1 billion in export financing. This included more than $532 million in support of 140 U.S. export transactions to 23 sub-Saharan African countries. Ex-Im Bank works with commercial lenders to help U.S. companies increase export sales and American jobs and minimize risk by accessing the Bank's financing and export credit insurance.