BIG BUSINESS: Easternwell’s Gareth Ross Ewith Obadare Group’s Matt Warner.
BIG BUSINESS: Easternwell’s Gareth Ross Ewith Obadare Group’s Matt Warner. Contributed

Suppliers benefit from Easternwell's latest rig build project

LOCAL suppliers are benefiting from Easternwell's latest rig build project whereby up to 40 per cent of the project spend is being injected into the local economy.

As part of the company's five-year contract to provide 11 well servicing rigs and associated services to Shell's QGC business Surat Basin operations, Easternwell is building three new well servicing rigs at their Toowoomba workshop.

The building of the Advantage Light Rig Extra or ALRx in Toowoomba is giving local suppliers the opportunity to be part of delivering Australia's newest well servicing rig.

Obadare Group is one local supplier providing components for the rig including the mast and mud pump manifolds.

"We provide specialised engineering, manufacturing and inspection services across a range of industries including oil and gas, mining and mineral processing, defence, power generation and transport industries," Obadare group director Matt Warner said.

"We're excited to be working with Easternwell and are extremely proud to be manufacturing the first API 4F monogrammed masts in Australia.

"It is recognition for the investment we have made in our facility, staff and systems through the downturn.

"We look forward to collaborating with Easternwell's project team to deliver these new rigs to the market."

"As Australia's only API 4F* accredited manufacturer, Obadare Group was a logical choice for us when selecting suppliers to assist us with key components for the rig," Easternwell general manager Kyle Koziol said.

"It is important to us that we build our rigs using suppliers certified to Australian standards to ensure the quality and durability of our products for tough Australian conditions."

Additionally, Easternwell is sourcing many of the materials required during the project such as steel, pipe and pipe fittings, nuts, bolts, lifting equipment, winch lines, PPE, welding consumables, tools, electrical parts, paint, fuel, oil and safety equipment from a range of local suppliers within the Toowoomba and Surat Basin region.

Easternwell, a subsidiary of global service provider Broadspectrum, plans to increase its local workforce by 20 per cent and local procurement by nine per cent.    These goals reflect the desire of Shell's QGC Business and Easternwell to provide more opportunities for the local community and are set out in the contract for this work.

* The American Petroleum Institute (API) is a body which provides standards for the operation, manufacture, and design of drilling and service rigs. The API 4F standard provides a guideline for the design of drilling and service rigs, both on and offshore, for a range of environments and weather conditions.