Archer, a global provider of drilling services, is pleased to announce that its subsidiary in Argentina has been awarded additional drilling contracts worth a total of USD 125 million by Pan American, a leading player in the oil and gas industry in Argentina.
One of the contracts is a 2.5-year extension for three drilling rigs operating in Pan American’s Cerro Dragon Field. This extension, which comes with improved commercial terms, has a value of approximately USD 100 million and will run until the fourth quarter of 2027. The contract extension demonstrates Pan American’s confidence in Archer’s ability to deliver safe and cost-effective drilling operations.
The other contract involves the deployment of an additional drilling rig in Vaca Muerta. This contract has a value of USD 25 million and will span over two years, with the rig expected to mobilize in the first quarter of 2024.
Despite the economic instability in Argentina, the country’s oil and gas activity remains robust, and the new political leadership has shown a clear commitment to enhancing drilling and production activities. Archer’s CEO, Dag Skindlo, believes that these new contract awards will significantly enhance the visibility and profitability of Archer’s local operation in Argentina and create further value for the company’s shareholders over time.
Gerardo Molinaro, Vice President of Archer Land Drilling, emphasizes the partnership’s commitment to excellence, safety, and sustainability in every aspect of their operations. He expresses excitement about the opportunity to continue supporting Pan American with high-quality and efficient drilling services in the years ahead.
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