In line with the Modi government’s Act East Policy, the Anil Ambani controlled Reliance Group has announced an association with ALLRIG Inc of USA, a partnership that will cater to the oil & gas services sector in South-East region including India.
Oil and gas services sector is a new stream for Anil Ambani’s Reliance Group that is currently creating big waves in the defence sector.
Announcing its entry into the Oil and Gas services sector, the company said that Reliance Defence and Engineering Ltd (RDEL) has signed an MoU with ALLRIG Inc, USA. The partnership will help Reliance Shipyard at Pipavav to emerge as an one-stop solution for all the on shore and offshore services needed by upstream drilling companies and tap a significant share of the estimated Rs 7000 crore market.
Reliance Defence and Engineering Ltd (RDEL) is promoted by Reliance Infrastructure Limited. ALLRIG, USA is a global leader in service support for onshore and offshore installations,
As per the company, the RDEL-ALLRIG association would bring in the strategic advantages of high quality services at competitive cost and lower turnaround time to upstream companies operating in the Indian subcontinent with respect to Jack-up rigs, Drilling rigs and other floating / fixed oil & gas assets.
The association will also be very helpful in providing solutions for class approved spares, repairs, up-gradation and warranty support for critical equipments for older assets where OEM support is not feasible.
“The step is expected to strike the right cord with the offshore asset owners operating in the Indian subcontinent, who have to look towards other far-off service providers for their service needs,” the company said.
Under the partnership, RDEL’s shipyard at Pipavav, Gujarat would be developed as a One-Stop-Shop solution for all the service needs of upstream companies such as dry docking, inspection, repair, overhaul, up-gradation, rectification, maintenance and spare services.
Commenting on the partnership with ALLRIG, Vice Admiral H S Malhi (Retd), CEO, RDEL said, “The association with Allrig responds to a real time need of the industry of enhanced service provision in the upstream segment.”
Another senior official of the Reliance Group, Dr A K Balyan CEO, Oil & Gas Business, said “RDEL yard’s excellent location and world class infrastructure along with Allrig’s superior capabilities will bring up synergies to provide high quality services“.
The RDEL-ALLRIG association will take part in various opportunities in Indian subcontinent and South-East region; the estimated India market size is about Rs 7000 Cr. “The association will particularly target ONGC and other regional drilling contractor community; Allrig in association with RDEL shipyard can localize its presence and can provide array of services including quayside & dry docking works,” the company said.
Reliance Defence and Engineering Ltd
Reliance Defence and Engineering Ltd (RDEL) is a shipbuilding and heavy industry company and is part of Reliance ADA Group, which is one of the biggest business conglomerates of India. RDEL has the largest engineering infrastructure in India which is also one of the largest in the world. The company is engaged in shipbuilding, offshore oil & gas, heavy engineering, repairs, modifications & conversion projects.
RDEL operates the world class integrated shipbuilding facilities in Gujarat, India which houses India’s largest Dry dock 662m x 65m and country’s only modular shipbuilding facility with a capacity to build fully fabricated and outfitted blocks. The fabrication facility is spread over 2.1 million sq. ft. The shipyard has a pre-erection berth of 980 meters length and 40 meters width, and 2 Goliath cranes with combined lifting capacity of 1,200 tonnes, besides outfitting berth length of 780 meters.
RDEL has delivered several ships since commencing its operations in 2011, encompassing the international commercial sector, the defence production as well as the Oil & Gas asset construction, repair and modification projects.
Allrig Inc, USA
Allrig, Inc. provides crane and jacking system inspection / repair, drilling equipment and anchor winch refurbishment, hull, leg and derrick integrity inspections/repairs, and quayside rig upgrade projects services to drilling contractors.
It produces, fits, assembles, overhauls, constructs, and re-constructs high-quality machine parts; inspects the inner workings of the gearboxes; performs load tests for offshore clients; conducts first-line examinations of mechanical installations and prepares maintenance programs that include budget, timelines, staffing, components, and equipment; and disassembles and assembles onshore and offshore components.
The company’s services also include gearbox overhauls; MT and MPI flaw inspections; repairs and the refurbishment of jacking systems, skidding systems, and water tower elevating systems; specialized welding and leg repair for jackup rig; design and engineering of new or improved components; and specialized oilfield equipment repair, refurbishment, and re-certification.
In addition, it manufactures components that include API and ANSI spools, adapters, flanges, choke and kill manifolds, and high-pressure drill-through accessories. Allrig, Inc. was formerly known as ESI Energy Services International, Inc. and changed its name to Allrig, Inc. in May 2015. The company was incorporated in 2013 and is based in Houston, Texas with facilities in Houma, Houston, Vicksburg, Dubai, Alkmaar, and Singapore.
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