Saudi Aramco and National Oilwell Varco Inc. (NOV) will form a joint venture in Saudi Arabia.
The proposed JV will provide high-specification land rigs, rig and drilling equipment, offer certain aftermarket services, and establish an education center to train Saudi technicians in the maintenance and operation of the drilling technology that the venture will bring to the kingdom, the companies said.
A previously announced commitment from Saudi Aramco Nabors Drilling Co. to purchase 50 onshore drilling rigs from the NOV/Aramco JV over 10 years will support the combine. Through an exclusivity agreement, the JV will have the opportunity to supply Saudi Arabia, GCC, and MENA region. NOV will own a 70% interest in the JV. Saudi Aramco will own 30%.
Commissioning of the facility is expected by 2020 with the first rig to be delivered by 2021, said NOV Chairman, Pres. and Chief Executive Officer Clay Williams.
