Honghua Group (00196) said it agreed to sell to a leading drilling service contractor in North Africa several units of land drilling rigs with certain specifications for about US$28 million and to sell to Eriell Group several units of land drilling rigs with certain specifications for about US$34 million.
Those land drilling rigs sold to Eriell will be put into service in the national oil and gas production increment projects in Uzbekistan, which will also have great positive impact to Uzbekistan government for increasing the oil and gas output volume. Besides, this partnership not just helps shift Uzbekistan's reliance on Russia manufactured products to international products, but also helps Honghua to further promote Middle Asia markets.