Adnoc Drilling awarded $1.53 billion contract to support expansion of Adnoc's offshore operations

The two-year agreement covers the provision of 12 jack-up rigs, two island rigs, and the associated Integrated Drilling Services (IDS)

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Photo: Wam

By Wam

Published: Mon 10 Oct 2022, 10:01 AM

Last updated: Mon 10 Oct 2022, 4:24 PM

On Monday, the Abu Dhabi National Oil Company (Adnoc) awarded a contract worth Dh5.62 billion ($1.53 billion) to Adnoc Drilling.

The contract supports the expansion of Adnoc's offshore operations, and its objective to responsibly increase production capacity and meet the growing global demand for reliable, lower carbon-intensity oil and gas.

Adnoc Offshore's two-year contract covers the provision of 12 jack-up rigs, two island rigs, and the associated Integrated Drilling Services (IDS).

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Along with its strategic international partners, the company continues to maximise value from Abu Dhabi's offshore oil and gas resources. In this regard, the contract will leverage Adnoc Drilling's start-to-finish offering, as well as its position as the largest drilling company in the region (by rig fleet size), to drive value and efficiencies while minimising environmental impact.

Over 80 per cent of the contract value will flow back into the UAE's economy under Adnoc's successful In-Country Value (ICV) programme, supporting local economic growth and diversification.

Yaser Saeed Almazrouei, Adnoc Upstream Executive Director, said:

"Through this award, Adnoc Offshore will continue to responsibly harness the energy in Abu Dhabi's waters, as we increase production capacity to meet the world's growing demand for energy with lower carbon intensity oil and gas. Adnoc Drilling is a world leader in drilling and completion services.

"Their deep expertise and wide technical capability will maximise value and minimise the environmental foorprint of every well, as Adnoc expands its production capacity. The substantial in-country value generated through this contract will support the directives of our wise leadership to grow and diversify the UAE economy," he added.

This award will support the expansion of Adnoc's crude oil production capacity to five million barrels per day (mmbpd) by 2030 and gas self-sufficiency for the UAE. Adnoc Drilling has always provided IDS to Adnoc Offshore since 2019.

Since Adnoc Drilling launched its IDS offering in 2018, the company has enabled more than Dh917.5 million ($250 million) in savings for its customers through the successful end-to-end delivery of drilling and completion services.

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Wam

Published: Mon 10 Oct 2022, 10:01 AM

Last updated: Mon 10 Oct 2022, 4:24 PM

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