- Drillmec SpA and Industries Department will float a Special Purpose Vehicle (SPV) for the setting up of an equipment manufacturing unit.
NE BUSINESS BUREAU
HYDERABAD, JAN 31
Drillmec SpA, a global leader in oil-drilling rigs manufacturing, on Monday announced that it will be establishing its global manufacturing hub in Telangana in India. The company is proposing to invest over $200 million (about Rs 1,500 crore). in the upcoming facility for the setting up of the global hub in India, which would include Manufacturing, Research and Development, and a Centre of Excellence to impart cutting-edge training to people.
Drillmec SpA, a subsidiary company of Megha Engineering & Infrastructures Limited (MEIL) group, a global multisector conglomerate, has entered into a memorandum of understanding (MoU) with the Department of Industries & Commerce, Government of Telangana, for the establishment of Drillmec International Hub for manufacturing oil rigs and ancillary equipment in Telangana.
“We feel proud and welcome Drillmec which will establish its manufacturing unit near Hyderabad. Telangana is a landlocked State and therefore State is not a captive customer to the company. However, the company opted to be in Telangana even as there were options in other States. It reflects the progressive policies being implemented in the State. The State will work to support the company by handing over the required land and fiscal incentives as well,” said Industries Minister KT Rama Rao. Industries Principal Secretary Jayesh Ranjan was also present.
He asked the Drillmec to encourage its ecosystem players too to set their operations in Telangana as this will give an impetus to the employment generation efforts.
“We are interested in future investment in the Hydrogen fuel project in India. The Hyderabad manufacturing hub will focus on rig manufacturing and ancillaries. This facility will also sets up the R&D and training centre of excellence. We have three manufacturing facilities in Italy, USA (Houston), and Belarus. After considering many offers from various countries, we choose India and Telangana as the State has a progressive industrial policy and is investor-friendly,” said Simone Trevisani, Chief Executive Officer, Drillmec SpA.
Drillmec is a leading OEM (original equipment manufacturer) for land-based drilling rigs. It has historically delivered close to 600 drilling rigs. It has developed many innovative designs and acquired patents gloally. The company, which was incorporated under the laws of Italy having its registered office at Podenzano PC ,Italy, was acquired by MEIL group in 2020.
Drillmec SpA and Industries Department will float a Special Purpose Vehicle (SPV) for the setting up of an equipment manufacturing unit.
“This MoU is the first step towards creating a global manufacturing hub in Hyderabad. It will definitely meet the demands of the worldwide market. We have already had an order book $1billion,” said Uma Maheshwar Reddy, CEO, Drillmec International.
