Statoil has signed a two-year contract with AGR Drilling Services, which will supply a riserless mud recovery system.

The initial value of the contract is Nkr66m ($12.02m) and includes two optional extension periods of two years each, which, if exercised, will bring the total worth of the contract to NKr200m ($38m).

The contract includes the continuation of CTS (cutting transportation system) operations on two rigs

AGR also has an option to be the CTS supplier on a number of other rigs.

AGR Drilling Services executive vice-president Johan Moller Warmedalof said he was delighted that Statoil has seen fit to use his company’s technology.

“Our reputation continues to grow ever stronger globally and this latest show of confidence from Statoil is a credit to our dedicated, highly experienced team,” he added.