North Perth-based development fund MEC Resources Ltd will establish a joint venture company with well-bore technical services firm China National Logging Corporation, to provide production and exploration services to MEC investee Advent Energy Ltd.
The full text of a company announcement is pasted below
MEC Resources Ltd has signed a Memorandum of Understanding (MOU) with China National Logging Corporation (CNLC). The MOU relates to the potential formation of a Joint Venture Company (JVC) to (a) provide oil and gas exploration and production services to projects identified by MEC Resources and its investee company Advent Rnergy Ltd; and (b) market these services to other companies operating in Australia.
CNLC was established by China National Petroleum Corporation (CNPC) for the world-wide provision of well-bore technical services. CNPC is the flagship of China's energy enterprises with approx AU$ 183 Billion in sales in 2006.
Since its establishment, CNLC has not only been providing integrated well-bore services to China's petroleum industry, but has also progressively developed into a service company of international standing, having extended its business operations to a number of countries, such as the Sudan, Iran, Egypt, Tanzania, Venezuela, Kazakhstan, Myanmar, Pakistan, Bangladesh, and Azerbaijan.
CNLC is a specialized service company of international repute, providing its clients with integrated services and solutions relating to:
Wire-line logging, mud logging, well testing, perforating, MWD/LWD and directional drillingWell completion, acidizing, fracturing, work-over and other related engineering aspectsThe manufacture of wireline logging, mud logging, well testing and perforating equipmentGeophysical and geological research and developmentInformation consultation and project management and engineering on petroleum exploration and development projects.Clients to whom CNLC has successfully provided well-bore technical services, include, amongst others, PetroChina, Esso, Phillips, Agip, Shell, JNOC, Amoco and Chevron.
MEC Resources and CNLC are currently conducting a market study of the Australian services market, with MEC recently hosting a visit from CNLC representatives. The MOU sets out a staged process towards development of formal agreements and a Joint Venture Company.
