Calgary, Alberta, Canada-based Xtreme Coil Drilling Corp. has expanded its operations in Mexico. The venture began as with the execution of a new drilling contract with a Weatherford International subsidiary.

The company is now preparing to deploy two additional Coil Over Top Drive (COTDTM) drilling rigs under a new long-term contract. between Weatherford de Mexico S.A. de C.V. and Xtreme Coil’s wholly owned subsidiary, Xtreme Coil Drilling Mexico, S.A. de C.V.

The two XTC 400 drilling rigs will operate in the Chicontepec oilfield near Poza Rica. The XTC 400 is Xtreme Coil’s largest rig capable of drilling 10,000 ft with 3 ½-in. coiled tubing. Set up as a “triple,” the rig is also capable of drilling to 14,000 ft with conventional jointed drill pipe. It is built with a 400,000 lb. AC drawworks, a large 200,000 lb. injector and an integral multi-well pad self skidding system. Both rigs recently completed operations in the United States’ Rocky Mountain region. Xteme Coil initiated its first international project in mid-2008 with six newbuilt COTDTM drilling rigs. It now has a fully staffed Mexico office acting as an operational base near Poza Rica. Current success in the region includes a 95% rate of productive rig time.

In Q4 2008, Xtreme Coil reported approximately 950 operating days in total. By the year end, Xtreme Coil had nine rigs under long-term contract. Including the two rigs moving to Mexico, its drilling rigs under contract have now increased to 11 out of its current COTDTM rig fleet of 16. The company is pursuing a number of new opportunities in several international regions. Its operating information shows its rigs to viable equipment for responding to conventional and re-entry drilling projects both in North America and beyond.