BP lets contract for Oman land rigs

BP PLC has let a 5-year contract to KCA Deutag for the construction and operation of three newbuild, fast-moving land rigs in Oman’s Khazzan development for $340 million including options.

The rigs will be manufactured by Bentec, KCA Deutag’s manufacturer of drilling rigs and equipment. KCA Deutag currently operates seven rigs in Oman.

BP started production from Khazzan in 2010 (OGJ Online, May 28, 2010). A year later, the company said it was considering an investment of $15 billion over a 10-year period for the full-field development of its Block 61 tight gas fields including Khazzan (OGJ Online, June 20, 2011).

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