TEHRAN August 16 (Shana)–Iran plans to change the status of National Iranian Drilling Company (NIDC) to a holding company, a senior official said.
“The NIDC’s central core plus its technical services will remain [in the hands of] the petroleum industry and the remaining sections of the company will be ceded in the form of a holding,” Deputy Petroleum Minister Rokneddin Javadi said.
He said that NIDC has been instrumental in the realization of plans by the National Iranian Oil Company (NIOC) for oil and gas production.
Javadi said NIDC contributes 50 percent to oil and gas well drilling operations and 70 percent to technical services in Iran.
A holding company is a parent corporation, limited liability company or limited partnership that owns enough voting stock in another company to control its policies and management.
A holding company exists for the sole purpose of controlling another company, which might also be a corporation, limited partnership or limited liability company, rather than for the purpose of producing its own goods or services.
Holding companies also exist for the purpose of owning property such as real estate, patents, trademarks, stocks and other assets. If a business is 100% owned by a holding company, it is called a wholly owned subsidiary.
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