AKITA Drilling Profile
AKITA Drilling Ltd. provides contract drilling services in Canada and the United States.
The company operates a fleet of 20 drilling rigs.
The company operates through two segments, Canadian and U.S.
Canadian
The company’s Canadian segment conducts operations in Alberta, British Columbia, Saskatchewan, and from time to time, in the Yukon and the Northwest Territories, primarily with its wholly-owned rigs and through its active joint ventures, including AKITA Mistiyapew Aski Drilling Ltd. (owned 50% by the company); Akita Equtak Drilling Ltd. (owned 50% by the company); and Akita Wood Buffalo Drilling Ltd. (owned 50% by the company), each of which has defined geographical boundaries.
The company is hired by independent oil and gas companies, major international oil and gas companies and their affiliates, as well as mining companies, as an independent contractor to drill oil and gas wells, potash exploration and development wells and wells to be developed into storage caverns for gas.
As of December 31, 2020, the company’s Canadian fleet included 14 wholly-owned and operated drilling rigs, and six joint venture drilling rigs. In total, its Canadian drilling fleet included 12 electric drilling rigs and 8 mechanical drilling rigs.
Pad Drilling Rigs
55% of the company’s rig fleet is made up of pad drilling rigs. These rigs are equipped with moving systems and are able to move short distances, from well to well under their own power without being taken apart.
U.S.
With a fleet of 17 drilling rigs, the company’s U.S. segment conducts operations in Colorado, Utah, Wyoming, Texas, New Mexico and Oklahoma.
As of December 31, 2020, the company had four drilling rigs with multi-year contracts. Of these contracts, four are due to expire in 2021.
The company provides contract drilling services to the oil and gas industry in the U.S. primarily in the Denver – Julesburg Basin in Colorado, the Powder River Basin in Wyoming, the Uintah Basin in Utah, the Permian Basin in Texas/New Mexico and the Anadarko Basin in Oklahoma. The company is hired by independent oil and gas companies, major international oil and gas companies and their affiliates, as an independent contractor to drill oil and gas wells, development wells and disposal wells.
As of December 31, 2020, the company had nine XDR 500 rigs, three XDR 850XE rigs, two high specification AC triples, one AC double and two DC triples available for service.
Seasonality
While activity in the northern part of the U.S. is subject to a degree of seasonality, it is less affected by spring breakup than are the company’s operations in northern Canada. Other areas in the U.S. where its U.S. division conducts drilling operations are infrequently subject to weather constraints, such as hurricanes, primarily in the southern states, but might experience operational restrictions for other reasons.
History
AKITA Drilling Ltd. was founded in 1964. The company was incorporated under the Business Corporations Act (Alberta) in 1992.
