Xtreme Coil and AJ Lucas Group Establish Australia Joint Venture

Calgary-based Xtreme Coil Drilling Corp. announced that it is establishing a joint venture company with AJ Lucas Group Limited of Australia. Lucas-Xtreme Drilling Pty. Ltd. will be owned equally by AJ Lucas Coal Technologies, a wholly-owned subsidiary of Lucas, and Xtreme (Luxembourg) SA, a wholly-owned subsidiary of Xtreme Coil. The parties have executed a shareholder rights agreement which addresses various potential frameworks for the provision of coil over top drive (COTD) drilling rig equipment and related services. The joint venture company will focus on developing business with proprietary, purpose-built equipment designed specifically for the Australian market utilizing several Xtreme Coil patents and patent-pending processes. Xtreme Coil develops and applies edge patented and patent-related technology and designs to build, transport, and operate new drilling rigs. Activity is underway to establish an office in Australia to pursue direct marketing and operations for future contract drilling opportunities. Lucas is a provider of specialist infrastructure and mining services and is a large supplier of drilling services to Australia’s coal and coal seam gas industries.