Greka in payment row with Arabian Oilfield

Vol 19, PW 20 (16 Jun 16) News in Brief
     

UK-listed Greka Drilling must appear before the Delhi High Court on July 29 in a case filed by little-known Arabian Oilfield Supplies and Services.

At issue is payment for drilling equipment supplied by Arabian when Greka deployed five rigs in October 2014 at Essar's 500-sq km Raniganj East CBM block RG (E) CBM-2001/1 to drill 100 wells under a $65m one-year contract. "Greka is giving us a lot of stress," confirms Nitish Gaitonde, Arabian regional manager.

He refrained from commenting further as the case is sub-judice. Even Greka is tight-lipped.

"It's my constitutional right to not talk to you," said Greka procurement head Ravinder Lal. For now, the Delhi court has restrained Greka from selling machinery.

Another Greka source says it has resumed Raniganj East drilling. In May 2015, Essar demobilised Greka's rigs, disappointed by its performance drilling 16 wells.

But on February 15 this year Greka signed an $8m contract with Essar to provide two GD75 rigs for a year. Greka spud the first well on May 8 and by June 5 had completed two wells.