Update on Fatala-1 preperations
Hyperdynamics Corporation (OTCQX: HDYN) announced today that SCS Corporation Ltd. ("SCS"), its wholly owned subsidiary, has signed a Master Service Agreement ("MSA") with Schlumberger to provide essential drilling services for the deepwater exploration well planned for the second calendar quarter of 2017 offshore the Republic of Guinea. "With the signing of this agreement with Schlumberger, we now have the critical equipment and most of the drilling services contracts in place to enable us to begin drilling the Fatala-1 deepwater exploration well this spring," said Ray Leonard, Hyperdynamics President and Chief Executive Officer. "Schlumberger is the world's leading provider of oilfield services and equipment to the upstream industry. No one has more experience than Schlumberger in helping oil and gas operators safely and successfully drill for hydrocarbons in some of the deepest waters around the world. "With Schlumberger as integrated project manager for drilling services -- and with Pacific Drilling providing a modern deepwater drillship with an experienced crew -- we have assembled a world-class contingent of equipment, services and highly experienced manpower." Under the MSA, Schlumberger will be the primary provider of services to drill the Fatala-1 well. The estimated value of the MSA for the Fatala-1 well is approximately U.S. $4.5 million. "We are also advancing our discussions with several global oil companies that could farm into a significant portion of our project working interest, provide additional technical expertise and share the project costs and risks," Mr. Leonard added. Hyperdynamics has also achieved other key milestones as it prepares to begin drilling operations.