Wednesday June 27, 2012
UMW expanding drilling operations
KUALA LUMPUR: UMW Holdings Bhd is investing US$214mil (RM684mil) to expand its drilling operations with the acquisition of offshore contractor S.D. Standard Drilling Plc's unit and a mobile drilling rig.
In the statement to Bursa Malaysia, UMW said it had entered into a share purchase agreement with S.D. Standard Drilling to buy its entire stake in Offshore Driller B324 Ltd (ODB) for US$70mil.
UMW is also looking to acquire a mobile offshore drilling ring which ODB had contracted Keppel Fels Ltd to construct for US$144mil. The rig is currently being constructed and is expected to be completed and delivered by February 2013.