UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 6-K
REPORT OF FOREIGN PRIVATE ISSUER
PURSUANT TO SECTION 13a-16 OR 15d-16 OF THE
SECURITIES EXCHANGE ACT OF 1934
For February 18, 2004
Commission File Number: 001-14534
PRECISION DRILLING CORPORATION
(Exact name of registrant as specified in its charter)
4200, 150 - 6TH AVENUE S.W.
CALGARY, ALBERTA
CANADA T2P 3Y7
(Address of principal executive offices)
Indicate by check mark whether the registrant files or will file annual
reports under cover Form 20-F or Form 40-F.
Form 20-F [_] Form 40-F [X]
Indicate by check mark if the registrant is submitting the Form 6-K in
paper as permitted by Regulation S-T Rule 101(b)(1)._______
Note: Regulation S-T Rule 101(b)(1) only permits the submission in
paper of a Form 6-K if submitted solely to provide an attached annual report to
security holders.
Indicate by check mark if the registrant is submitting the Form 6-K in
paper as permitted by Regulation S-T Rule 101(b)(7):_______
Note: Regulation S-T Rule 101(b)(7) only permits the submission in
paper of a Form 6-K if submitted to furnish a report or other document that the
registrant foreign private issuer must furnish and make public under the laws of
the jurisdiction in which the registrant is incorporated, domiciled or legally
organized (the registrant's "home country"), or under the rules of the home
country exchange on which the registrant's securities are traded, as long as the
report or other document is not a press release, is not required to be and has
not been distributed to the registrant's security holders, and, if discussing a
material event, has already been the subject of a Form 6-K submission or other
Commission filing on EDGAR.
Indicate by check mark whether the registrant by furnishing the
information contained in this Form is also thereby furnishing the information to
the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of
1934.
Yes [_] No [X]
If "Yes" is marked, indicate below the file number assigned to the
registrant in connection with Rule 12g3-2(b): 82- N/A
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Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned, thereunto duly authorized.
PRECISION DRILLING CORPORATION
Per: /s/ Jan M. Campbell
-------------------------------------
Jan M. Campbell
Corporate Secretary
Date: February 18, 2004
NEWS RELEASE
FOR IMMEDIATE RELEASE
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INNOVATIVE APPLICATION OF TECHNOLOGY EARNS
PRECISION DRILLING CORPORATION CONTRACT EXTENSION
FOR UNDERBALANCED DRILLING IN OMAN
Calgary, Alberta, Canada - February 18, 2004 - Precision Drilling Corporation
("Precision") announced today the award of a four-year contract extension worth
up to US$40 million to provide underbalanced drilling (UBD) technology and
services for Petroleum Development Oman (PDO), a joint venture with Shell. This
contract extension builds upon the success of the previous 1.5 years of service
to PDO and was awarded as a direct result of the improvements to safety, well
productivity and overall operational performance that Precision brings to the
PDO drilling team.
The continued work scope with PDO will facilitate introduction of additional
Precision innovative drilling technologies, such as the EMpulseTM
electromagnetic measurement-while-drilling (MWD) system and BOOSTTM casing
signal enhancer. These technologies have been employed successfully by Shell in
the North Sea and will allow the expansion of UBD operations in Oman to include
low-pressure drilling environments where conventional signal transmission is not
practical. Mobilization of this unique equipment to the Lekhwair Field in Oman
is underway.
"The challenges facing us in the mature oilfields of Oman require
fit-for-purpose technology coupled with first class service delivery," said Paul
Francis, PDO underbalanced drilling implementation team leader. "Precision has
brought these elements to the project to help us deliver superior results. We
are glad to have them as part of our team and look forward to evaluating their
additional capabilities to further expand the application of UBD in Oman."
To date the Precision team in Oman has drilled more that 108,000 ft (33,000 m)
of hole underbalanced, achieving average operating efficiency greater than 99%
with no lost time incidents and an average increase in production of 2.2 times
that achieved using conventional drilling techniques.
"This contract extension will enable Precision to introduce some of our
technologies to the Middle East that already have proven track records in Canada
and Mexico," said Rusty Petree, Vice President Corporate Development, Technology
Services for Precision. "Our UBD, electromagnetic MWD, logging-while-drilling
(LWD) and rotary steerable technologies, when combined with quality service
delivery and an effective drilling program, are key enablers for the economic
development of maturing basins."
This news release includes forward-looking statements based upon current
expectations that involve a number of business risks and uncertainties, which
may cause the actual results of Precision to be materially different from any
future results expressed or implied by such forward-looking statements. Such
factors include, but are not limited to, fluctuations in the market for oil and
gas and related products and services, political and economic conditions in
countries which Precision does business and the successful application of our
technology and other factors, which are described in further detail in
Precision's filings with the Securities and Exchange Commission.
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Precision Drilling Corporation (TSX: PD, and PD.U; NYSE: PDS) is a global
oilfield services company providing a broad range of drilling, production and
evaluation services with focus on fulfilling customer needs through
fit-for-purpose technologies for the maturing oilfields of the 21st century.
With corporate offices in Calgary, Alberta, Canada and Houston, Texas, and
research facilities in the U.S. and Europe, Precision employs more than 10,000
people conducting operations in more than 30 countries. Precision is committed
to providing efficient and safe services to create value for our customers, our
shareholders and our employees.
FOR FURTHER INFORMATION PLEASE CONTACT DALE E. TREMBLAY, SENIOR VICE PRESIDENT
FINANCE AND CHIEF FINANCIAL OFFICER, 4200, 150 - 6TH AVENUE S.W., CALGARY,
ALBERTA T2P 3Y7, TELEPHONE (403) 716-4500; FAX (403) 264-0251; WEBSITE:
WWW.PRECISIONDRILLING.COM