Continuing its acitivities in the South American region through to 2011, BJ Tubular Services has revealed that it has been awarded a three-year extension to its current contract with Shell Brasil Ltda, to provide a range of casing and tubing running services offshore Brazil.

Shell had awarded the original contract to BJ in 2005 for operations on the drillship Deepwater Navigator. Its operations in Brazil have included ongoing drilling in the Bijupirá field in the Campos Basin, around 150km east of Rio de Janeiro, while the announced contract extension calls for BJ to provide services for Shell’s next development located in a deepwater block offshore Vitoria.

The multi-million dollar contract extension includes two one-year options to renew, with BJ Tubular Services set to commence operations in spring 2008 with dedicated personnel and state-of-the-art equipment from its Macaé, Brazil division facilities.

Kenny Watt, General Manager of BJ Tubular Services, reflected on the renewal as he said, “I attribute the extension of our contract to the safe, efficient casing and tubing running services we have been providing Shell in the Campos Basin during the past three years. We will be drawing upon that experience and look forward to using our fully mechanised running system to reduce costs and further improve safety.”

To increase safety and improve running times, BJ will use a fully mechanised running system that includes its Leadhand tong manipulating technology with hydraulic casing and back-up tongs.

Since entering the Brazilian market back in 1999, the company has been highly active in the region, running casing and tubing, and driving conductors with its large fleet of hydraulic Hydrohammers.