Quippo sale rumour

Vol 14, PW 7 (23 Sep 10) News in Brief
     

Indian driller Quippo Oil and Gas could be up for sale.

“Quippo’s parent (infrastructure) company SREI has decided to sell the drilling business,” an industry source tells PETROWATCH. “They don’t find it as profitable as they used to.

” ICICI Bank, he adds, is rumoured to be advising Quippo on the sale. When contacted, Quippo chief executive Vipul Bhatt says he has also heard similar rumours.

“Maybe our management has decided to sell the business,” he says. “I’m just an employee.

” Quippo ventured into the drilling business in 2005 by acquiring one onland drilling rig. It now owns a 2000-hp rig, two 1000-hp rigs, a 1300-hp rig and a 750-hp rig.

Bhatt tells us the 1300-hp and 750-hp rigs are hired out to ONGC while the two 1000-hp rigs could soon win contracts “in the northeast”. Quippo holds a 40% stake in NELP-VII onland block CB-ONN-2005/11 where it partners operator Quest Petroleum with 20%, SREI with 20%, Vectra Investments with 10% and Primera Energy with 10%.

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