MUMBAI: Global oil and gas rig firm Drillmec SpA, the Italian arm of Megha Engineering and Infrastructure Limited (MILE), on Monday signed a Memorandum of Understanding (MoU) with the Telangana government to set up a manufacturing hub for $200 million (approx.) . 1,500 crore) on the outskirts of Hyderabad.
Drillmec said the global hub will include a manufacturing facility for oil rigs and accessories, a research and development center, and a center of excellence to provide training in cutting-edge technology.
“We are interested in future investments in the hydrogen fueling project in India. The Hyderabad manufacturing center will focus on rig manufacturing and subsidiaries. The facility also houses R&D and training centers of excellence,” said Simone Trevisani, CEO Drillmec The SPA said that the company already has three manufacturing facilities in Italy, USA (Houston) and Belarus. “After considering several proposals from different countries, we choose Telangana, India, because it has a progressive industrial policy and is investor-friendly,” he said.
Drillmec SpA, a global player, is into the design, manufacture and supply of drilling and workover rigs primarily for onshore and offshore applications, in addition to a wide range of spare parts for drilling equipment. Drillmake has historically delivered around 600 drilling rigs.
Meil had last April unveiled India’s first indigenously developed hydraulic rig for the oil and gas sector, where advanced hydraulic technology helps in drilling oil wells up to a depth of 6 km from the surface.
The company had also handed over two indigenously manufactured drilling rigs to the state-run Oil and Natural Gas Corporation Ltd. These rigs were part of an order of value. 6,000 crore for 47 rigs, including 20 workover rigs and 27 land drilling rigs, which MEIL had procured from ONGC in 2019 through a tender process.
MEIL plans to deliver 23 oil spills by March 2022 to ONGC’s properties in Assam (Sibsagar, Jorhat), Andhra Pradesh (Rajahmundry), Gujarat (Ahmedabad, Ankleshwar, Mehsana and Khambhat), Tripura (Agartala) and Puducherry (Karaikal) .
Drillmake SPA and the Industries and Commerce Department of the Government of Telangana have agreed to launch a special purpose vehicle to set up an equipment manufacturing unit, which can provide employment opportunities to around 2,500 people.
Never miss a story! Stay connected and informed with Mint.
download
Our App Now!!
,