Drilling Rig Financing in Canada

Get flexible drilling rig financing in Canada with Mehmi Financial Group. Lease or finance onshore and offshore rigs with custom terms and nationwide service.

6 minutes

Written by

Alec Whitten

Published on

May 18, 2025

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At the heart of Canada’s energy, mining, and infrastructure industries are drilling rigs—complex, high-performance machines that make it possible to extract valuable natural resources. Whether you're working in Alberta's oil sands, Quebec's mineral-rich zones, or remote parts of Saskatchewan and Newfoundland, having the right rig is crucial to efficient and safe operations.

At Mehmi Financial Group, based in Mississauga, Ontario, we provide specialized financing and leasing solutions for drilling equipment across the Greater Toronto Area (GTA) and all of Canada. We understand the challenges businesses face when acquiring such costly, mission-critical machinery—and we’re here to help you invest with confidence.

What Is a Drilling Rig?

A drilling rig is a large, specialized machine used to create holes in the ground for the extraction of natural resources like oil, gas, and minerals. Depending on its design, a rig may operate on land or at sea and may drill to varying depths.

Common Types of Drilling Rigs:

Land Rigs: Used for onshore exploration and extraction
Offshore Rigs: Includes jack-up rigs, semi-submersibles, and floating rigs for deepwater operations
Mining Rigs: Designed for mineral exploration and ore body sampling
Geotechnical and Environmental Rigs: Used for soil sampling and site assessments

These rigs play a critical role in Canada's natural resource economy—from Calgary and Edmonton to Halifax, Winnipeg, and beyond.

Why Financing Drilling Rigs Makes Sense

Purchasing a drilling rig outright can cost hundreds of thousands—or even millions—of dollars. That level of capital expenditure can slow down growth or limit other investment opportunities.

Benefits of Financing with Mehmi Financial Group:

Access the latest drilling technology without upfront strain
Preserve cash flow and working capital
Choose terms that align with project cycles and seasonal operations
Enjoy fixed monthly payments for easier budgeting
Option to own or upgrade equipment at the end of term

Who We Help

We provide financing to companies in:

Oil and gas exploration
Mineral extraction and mining
Construction and infrastructure
Environmental drilling and soil testing
Water well and geothermal drilling

Whether you're based in Toronto, Mississauga, Vancouver, Edmonton, or Halifax, we tailor our equipment loans to your unique operational and financial needs.

Frequently Asked Questions: Drilling Rigs

What is a drilling rig?
A drilling rig is heavy machinery used to create boreholes for extracting oil, gas, water, or minerals. It's essential for energy and resource industries.
How does a drilling rig work?
A rig uses rotary motion or percussion drilling to cut through earth layers, while circulating drilling fluid helps remove cuttings and maintain well pressure.
What are the types of drilling rigs?
Common types include land rigs, offshore rigs (e.g., jack-up rigs, semi-submersibles), and floating rigs—each designed for specific environments and depths.
What is the purpose of drilling fluid?
Drilling fluid cools the bit, stabilizes the well, removes debris, and prevents blowouts by balancing underground pressures.
What are the main components of a drilling rig?
Key components include the derrick, drill string, rotary table, mud pumps, power systems, and control cabins.
What is a blowout preventer (BOP)?
A BOP is a high-pressure safety device designed to seal the well and prevent uncontrolled fluid releases during drilling.
What are the environmental impacts of drilling rigs?
Drilling can lead to land disturbance, emissions, and water contamination—though modern rigs now feature improved environmental controls and waste management systems.