NewTech Services and Varel International Create Joint Venture
NewTech Services (NTS) and Varel International announce the creation of a 50-50 joint venture company focused on manufacturing, assembling, servicing and sales of oil and gas drill bits for the Russian CIS market and beyond. The joint venture, Varel NTS, will establish a state-of-the art PDC manufacturing and service facility in Kurgan, Russia, creating an alliance between Varel’s high technology engineering and manufacturing and the strength of NTS in drilling technology, infrastructure, market knowledge and customer requirements. NTS will also continue to support sales distribution and services of Varel’s advanced oil and gas roller cone products.
“In this first phase of the venture, Varel will provide support through the transfer of our proven, repeatable technology. In addition to our commitment to establishing the physical manufacturing equipment and technology, we will continue this collaboration by providing analytical resources through our proprietary programs, GeoScience™ formation analysis and SPOT™ cutting structure design,” said Mike Reese, PDC vice president Varel International. He continued, “These focused solutions tools will prepare products for local field implementation and significantly improve performance.”
Mark Sadykhov, president of NewTech Services added, “We are taking the initiative through this agreement to introduce cutting-edge application technology to the one of largest oil and gas regions of the world. CIS countries comprise a land ripe with vast opportunity and we are pleased to be merging our cultures together to bring technology into the region, broaden the talent base and assist the local economy. This effort represents the first time advanced Western PDC bit technology has been transferred into Russia and other countries.”
Per the agreement, Varel will coordinate the manufacturing efforts with NTS championing the sales and services enterprise. In addition, Varel will provide ongoing administrative and technology support from the company’s Eastern Hemisphere locations.
Thomas Seeney of Varel has been appointed Varel CIS Regional Manager. He will be supported by senior staff members in Kurgan who are currently training at Varel’s Eastern Hemisphere base in Tarbes, France. The new facility, centrally located to facilitate rapid bit delivery across Russia, will increase global Varel PDC drill bit production by approximately 20 percent.
“This capacity will allow Varel NTS to provide Kurgan produced PDC bits to markets external to Russia, helping meet the rapidly growing demand for Varel products in both the Eastern and Western Hemispheres,” explained Seeney.
Reese concluded, “We are fortunate to have found a partner in NTS. They are well versed in the drill bit business, so we did not have to battle a learning curve. The plans are in place and we are very well poised for the execution of successful operations.”
source www.varelintl.com
