(CCTV, Dec 30, 2006) China's Sichuan Honghua Petroleum Equipment Co. has signed an agreement with three Egyptian petroleum and natural gas companies to jointly establish a drilling company in Egypt. The move is aimed to solve the shortage of drilling rigs in Egypt.

Under the agreement, both sides will respectively invest 15 million US dollars in the venture. And the joint venture will consign 3 drilling rigs to Egypt by the end of 2007. Also, from 2008 to 2011, it will make another 53 drilling rigs for the country. The Egyptian authorities said after putting into production, the joint venture is expected to become the only petroleum drilling company in Egypt and around Middle East as well.
source:CCTV