SOCAR AQS and KCA Deutag have reached an agreement to form a joint venture that will target existing and future opportunities in the offshore and onshore Caspian drilling and engineering market.
The joint venture, which will be jointly owned and managed, will be called Turan Drilling & Engineering Company.
The new company will create a platform for the businesses to work together to grow their operations in Azerbaijan.
The joint venture will be based in Baku, Azerbaijan, and will focus on business development in the provision of oil and gas well drilling and engineering services in the Caspian offshore and certain other parts of the Central Asia region. It will be uniquely positioned to provide world class services to meet the growing demand for such.
Turan Drilling & Engineering Company will invest in the local community through the employment and development of Azerbaijani nationals and services.
“This is an exciting step in the group’s strategy to develop our business in the Caspian region. It brings together two businesses with complementary skill sets, which we believe will strengthen our offering to clients and enable us to jointly expand our footprint in the region,” Norrie McKay, KCA Deutag CEO, said.
The KCA Deutag group currently employs approximately 780 people in Azerbaijan, 79% of whom are Azerbaijani nationals. The group has been operating in the country since 1995, when it was awarded its first drilling contract and has a 20-year history of working in Azerbaijan providing design, construction support, platform services, commissioning and brownfield engineering services through its RDS and Offshore business units.
“Over the years of its operation, SOCAR AQS has achieved considerable achievements. As a result of its performance, the company has proven itself as a reliable partner. The establishment of this joint venture with KCA Deutag will create new opportunities for business development. I believe our cooperation will be mutually beneficial, and our clients will be able to receive even more advanced services,” Nasib Hasanov, the founder of Nobel Oil Services, the major shareholder of SOCAR AQS, said.