Drilling

In January 2021, the State of New Jersey Department of the Treasury listed Kingdream as a company engaged in prohibited activities in Iran pursuant to P.L. 2012, c. 25 ("Chapter 25"). 

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On October 14, 2020, Kingdream remained on the Tennesse Department of General Services list of persons it determines engage in investment activities in Iran, as described in 12-12-105.

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In 2020, the U.S. state of Mississippi listed Kingdream on its state lists of Companies Doing Business with the Iranian Petroleum/Natural Gas, Nuclear and Military Sectors, rendering it ineligible for investment and/or state contracting.

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Sinopec Oilfield Equipment Corp (F/k/a Kingdream) is listed on the June 2019 Alaska Retirement Management Board, Companies Doing Material Business with Iran list.

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On June 30, 2019, New Jersey listed Kingdream on its state list of entities determined, based on credible information, to be engaged in prohibited activities in Iran.

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Sinopec Oilfield Equipment Corp (F/k/a Kingdream) is listed on the March 2019 Alaska Retirement Management Board, Companies Doing Material Business with Iran list.

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In 2018 and 2019 Tennessee used the New York list of “Entities determined to be non-responsive bidders/offerers pursuant to the New York State Iran Divestment Act of 2012.” Kingdream was included on this list in 2018 and 2019. Tennessee states "Inclusion on this list would make a person ineligible to contract with the state of Tennessee, if a person ceases its engagement in investment activities in Iran, it may be removed from the list."

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In 2018 the U.S. states of New Jersey and New York listed Kingdream on its list of entities determined to be engaged in prohibited activities in Iran rendering Kingdream ineligible for investment and/or state contracting.

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In 2017 the U.S. state of Mississippi listed Kingdream on its Iran prohibited companies list rendering Kingdream ineligible for investment and/or state contracting.

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"Kingdream Public Limited Company (Kingdream) is a Chinese Class-I high-tech enterprise specializing in oil bits. With 3,500 employees, Kingdream is the largest oil bit manufacturer in Asia. The company stresses innovation in the design of its products and has so far received 110 Chinese patents, as well as 11 patents in other countries, including the USA, Russia and Iran. Kingdream has also developed 115 proprietary technologies."

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"Kingdream states that it holds patents for drill bits in Iran, as well as the United States and Russia.... The company has supplied the National Iranian Oil Company (NIOC) wiht drill bits for its extraction activities.... In the United States, Kingdream lists Oklahoma-based HIJET Bit, Inc. as its American distributor." (Mark Dubowitz and Laura Grossman, "Iran's Chinese Energy Partners," September 2010, p. 27)

• "In 2009, the company participated as an exhibitor in Iran's international oil and gas show. According to one trade source, Kerui Group subsidiary Shandong Kerui Petroleum Equipment Company entered into a joint venture with the private Iranian firm North Barite Company, forming an entity based in Iran, Petro Newtish Kish LLC." (Mark Dubowitz and Laura Grossman, "Iran's Chinese Energy Partners," September 2010, p. 27)

"Transocean Ltd., the world’s largest offshore oil driller, said it may have violated U.S. sanctions when goods bound for a company-owned rig in Turkmenistan traveled through Iran.

The equipment was shipped through Iran by a freight forwarder, Vernier, Switzerland-based Transocean said today in a filing with the U.S. Securities and Exchange Commission. The potential violation was detected by the company’s internal compliance program and was reported to the U.S. Treasury Department.

'Failure to comply with applicable laws and regulations relating to sanctions and export restrictions may subject us to criminal sanctions and civil remedies, including fines, denial of export privileges, injunctions or seizures of our assets,” Transocean said intoday’s filing.'

It’s against U.S. law to export U.S.-origin items to Iran, Transocean said in the regulatory filing."(Bloomberg, "Transocean Says It Shipped Goods Through Iran," 11/3/2010)

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Transocean is the world's largest offshore drilling contractor. It employs a workforce of 20,000 and specializes in deepwater drilling. Transocean is contracted by the world's largest energy companies, and managed BP's Deepwater Horizon platform at the time of the Gulf oil spill disaster (Company Website). 

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The New York Times reports that Transocean's SEC filings indicate that the company ships equipment through Iran, and additionally has ties to other sanctionable countries including Syria and Myanmar. 

"In Iran, an agreement was recently signed to facilitate co-operation with NIDC, (National Iranian Drilling Company) a division of the state NIOC (National Iranian Oil Company), to jointly provide services there." (GeoWorld Press Release, 4/17/2000)

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"Geoservices, in conjunction with NIDC is providing Mud Logging and Reserval services on two offshore rigs. In order to integrate the local crew, Geoservices provided training courses to POGC (Pars Oil and Gas Company), and to NIDC. The training was performed by Suresh Gadkari (see page 1) and Bosco Pereira." (GeoWorld Press Release, 12/19/2000)

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"Iran: Award of the Agip/Eni Well Test/Cleanup Contract for South Pars Field, phases 4 and 5. Commencement of Norsk Hydro contract for onshore mud logging operations. Geoservices now has a fully operational Branch Office in Tehran." (GeoWorld Press Release, June 2003)

In a 2008 correspondence with Parker Drilling Company, the SEC requested more details to be disclosed regarding their investments in Iran:

“We are aware of various news reports indicating that since 2003 you have been engaged in drilling wells at Korpeje in Turkmenistan, from where natural gas is exported by pipeline to Iran. Your Form 10-K does not include disclosure regarding any contacts with Iran, a country identified by the State Department as a state sponsor of terrorism, and subject to U.S. economic sanctions and export controls. Please describe to us the nature and extent of your past, current, and anticipated contacts with Iran, if any, whether through direct or indirect arrangements. Your response should describe in reasonable detail any components, equipment, technology, or other products or services you have provided into Iran, and any agreements, commercial arrangements, or other contacts you have had with the government of Iran or entities controlled by that government.” (UPLOAD for PARKER DRILLING CO DE, 7/8/2008)

Parker Drilling responded:

"Pursuant to a recent internal review, we (Parker Drilling Co.) have preliminarily identified certain shipments of equipment and supplies that were routed through Iran. In addition, we have engaged in drilling wells in the Korpedje Field in Turkmenistan, from where natural gas may be exported by pipeline to Iran. We are currently reviewing these shipments and drilling activities to determine whether the timing, nature and extent of such shipments or drilling activities may have given rise to violations of these laws and regulations." (10-Q for PARKER DRILLING CO DE, 8/11/2008)

"Yesterday, we disclosed in our Form 10-Q for the quarter ended June 30, 2008, which we timely filed with the Commission, that we are conducting an internal review relating to (a) certain shipments of equipment and supplies that were routed through Iran and (b) the drilling of wells in Korpeje Field in Turkmenistan, from where gas may be exported by pipeline to Iran. As described in our Form 10-Q, concurrent with the filing of our Form 10-Q we voluntarily disclosed the status of our current review of these matters to the Department of Treasury’s Office of Foreign Assets Control. This disclosure, which appears in three separate places in the Form 10-Q, is excerpted below." (CORRESP for PARKER DRILLING CO DE, 8/12/2008)

"Pursuant to an internal review, we have identified certain shipments of equipment and supplies that were routed through Iran as well as other activities that may have violated applicable U.S. laws and regulations. In addition, we have engaged in drilling wells in the Korpedje Field in Turkmenistan, from where natural gas may be exported by pipeline to Iran." (10-K for PARKER DRILLING CO DE, 3/3/2010)

Listed by U.S. Government as doing business in Iran. (U.S. Securities and Exchange Commission, List of Companies Doing Business With State Sponsors Of Terror, Removed from the internet in July of 2007)

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While Precision Drilling Trust is listed on the U.S. Securities and Exchange Commission online document as having business in Iran, the listing states the company sold its Iranian operations in 2005. (The Globe and Mail, Clarification, July 13, 2007)