Stock News: Tat Hong joint venture with KS Energy to charter 2 land rigs for 10.8 mln usd!

Tat Hong Holdings said it will set up a joint venture with KS Energy Services to charter two land rigs to a Chinese oil company, which it did not identify, for 10.8 mln usd. In a statement, Tat Hong said it will provide support in the maintenance of the rigs, while KS Energy will engage in the procurement, installation, commissioning and the subsequent management of the rigs. Tat Hong will have a 30 pct interest in the venture, with the balance to be held by KS Energy. The rigs are under construction in China and will be delivered in the second half of 2006. At the end of the charter period, with the consent of the Chinese oil company, the joint venture, as owner of the rigs, will be able to re-deploy the assets.