Adnoc Drilling accelerates initial $1.7 billion 'unconventionals' campaign

Abu Dhabi energy major signs Turnwell Agreements

By Staff Report, WAM

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Published: Mon 30 Sep 2024, 9:08 PM

Last updated: Mon 30 Sep 2024, 9:09 PM

Adnoc Drilling Company PJSC (Adnoc Drilling) announced on Monday the creation of the Turnwell joint venture with SLB and Patterson-UTI and the acceleration of its 144 unconventional oil and gas well programme, following the successful and delivery of the first wells in the campaign.

The company, through its wholly-owned subsidiary ADH RSC LTD, has signed definitive agreements for the creation of the Turnwell joint venture with SLB and Patterson-UTI. Focused on the UAE’s world-class unconventional energy resources, Adnoc Drilling through its wholly owned subsidiary will hold a 55 percent majority equity stake, SLB a 30 per cent equity stake, and Patterson-UTI the remaining 15 per cent.

Turnwell was established to be the unconventionals drilling arm of Adnoc Drilling and execute a $1.7 billion contract, awarded to Adnoc Drilling, to provide drilling and associated services to deliver 144 unconventional oil and gas wells. Following Turnwell’s efficient and successful start-up and operational delivery, Adnoc has accelerated the campaign’s completion timeline. The economic impact of the acceleration will benefit Adnoc Drilling’s 2025 earnings as well as its long-term growth through the potential acceleration of phase two with thousands of wells.

Commenting on the acceleration of the well programme, Abdulrahman Abdulla Al Seiari, chief executive officer, Adnoc Drilling, said: “Today marks a defining moment for Turnwell and our key partners SLB, and Patterson-UTI. The acceleration of the well programme is a testament to the innovation, collaboration, and pursuit of excellence that will define our joint venture. Turnwell will not only unlock the immense potential of the UAE’s world-class unconventional energy resources but will also set new benchmarks for the global energy industry. We are proud to lead the way in responsibly shaping the future of energy, both in the UAE and beyond.”

SLB will provide integrated drilling, stimulation and completion services, as well as project management, digital capabilities and subsurface support as part of the venture.

“We are proud to join forces with Adnoc Drilling in this strategic partnership that demonstrates SLB’s leading position in the region deploying innovative digital, drilling and completion technologies in developing unconventional energy resources,” said Tarek Rizk, SLB’s president for the Middle East and North Africa region. UAE’s unconventional energy assets hold a promising future, and we are very much looking forward to elevating their performance in a safe and sustainable way.”

With a global footprint in more than 100 countries and employees representing almost twice as many nationalities, SLB works on innovating oil and gas, delivering digital at scale, decarbonising industries, and developing and scaling new energy systems that accelerate the energy transition.

Adnoc Drilling, listed on the Abu Dhabi Securities Exchange, is the largest drilling and integrated drilling services (IDS) company in the Middle East by fleet size, owning and operating one of the largest multi-discipline drilling fleets in the world. The company is a critical link in Adnoc’s upstream business, as Adnoc responsibly accelerates its production capacity targets in light of globally increasing demand for energy. Adnoc Drilling incorporated IDS into its portfolio in 2018 and now offers a total solution of start-to-finish wells and associated services.