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Rigs At Work

Rig equipment is critical in the exploration and production of oil and gas. When exploration and production (E&P) companies want to explore new basins and construct wells, they need the services of drilling contractors and service rig contractors.

An E&P company determines where and how to drill. It arranges for access rights and all the services needed to support the rig's work.

The rig contractor has the people who know how to operate and maintain the rig. Rig contractors bid for jobs with oil and gas companies. They use their technology, their skilled people, their safety record and the ability to complete a job efficiently as selling points.

The rig contractor follows the drilling program created by the E&P company. The E&P company looks after providing the rig contractor with the needed support services to complete the drilling program.

How Rigs Work

A drilling rig is used to explore for oil and gas.

When an oil and gas company identifies a potentially economic oil and gas basin, it ‘rents’ a rig from a drilling contractors.

The drilling rig drills the well according to the drilling program provided by the oil and gas company. This is the first step in making an oil or gas well.

A service rig is brought to a site after a drilling rig's work is complete.

The oil and gas company needs the service rig to bring the well 'onstream' (to turn into a producing well).

Oil and gas companies also contract a service rig to shut in a well (when they don't want the well to be producing any longer) or to repair a well.

The pump jack is used when a well is 'onstream'. The machinery in the pumpjack mechanically pulls oil or gas to the surface.


Stories from Canada's Rig Industry