The Assignment / Client’s Problem

  • Review the NOC’s onshore drilling requirements to help identify and target suitable land drilling contractors (Middle East and International)
  • International rig contractor scouting based on the identified criterion
  • Generate a short-list of viable drilling partners willing to mobilise equipment to the Middle East

Westwood’s Approach & Analysis

  • Proprietary data tracks the international land drilling fleet (c.8,100 rigs)
  • Bespoke modelling  allowed  Westwood  to  gauge  market  size,  equipment utilisation, spending, and equipment trends by country
  • A comprehensive landscaping exercise served to identify and evaluate land drilling contractors; reviewing individual rig specifications, existing contracts, utilisation rates, financial stability, international experience,
  • Industry consultations with 30+ short-listed market participants in regional and international markets to gauge wiliness and/ or ability to mobilise to the Middle East

The Outcome & Benefit

  • Aided the NOC’s strategy to high-grade the in-country land drilling fleet, with the aim of sourcing rigs between 2,000-3,000HP
  • Preliminary consultations with industry participants eliminated unsuitable contractors, and provided a foundation for meaningful contract discussions
  • Significantly improved the NOC’s knowledge of the rig contractor landscape within the Middle East and International markets, a factor which proved critical to determining viable partners
  • Key recommendations were shared with the NOC, including initial contract terms, rig specifications, Mobilisation to the Middle East is an attractive proposition for some land rig contractors provided there is a provision of attractive contract durations and future options