NIDC invests over $1b to purchase drilling rigs
The CEO of the National Iranian Drilling Company (NIDC) announced an $800 million investment from National Iranian Oil Company (NIOC) funds to purchase 15 land drilling rigs this year.
Mehran Makvandi added that $200–300 million from the company’s internal foreign currency reserves will be allocated to procure ancillary equipment, such as cementing pumps and nitrogen units, IRNA reported.
On Tuesday, Makvandi outlined NIDC’s priorities for the Persian year 1404 (began on March 20, 2025), emphasizing enhanced drilling efficiency and modernization of the drilling fleet.
“Existing capital must be utilized for high returns. Last year, the company’s Non-Productive Time (NPT) stood at 20%, but through improved management and operational focus, this was reduced to 8%. We aim to further lower NPT to 3% this year.”
Investment in equipment development
Regarding comprehensive plans to upgrade and overhaul the drilling fleet, Makvandi added, “The modernization of light, medium, heavy, and ultra-heavy rigs will continue to the end of the next Iranian year (March 20, 2026). Outdated rigs will be phased out and replaced with new units boasting 1,000 to 3,000 horsepower.”
Makvandi highlighted plans to drill 130–150 wells this year, noting, “This target will be achieved through collaboration with clients and focused investments. Human resources and equipment are recognized as key drivers for improving drilling efficiency.”