Adnoc Drilling awarded contract to further unlock offshore resources

Abu Dhabi National Oil Company (Adnoc) announced on Thursday the award of a contract worth $980 million (Dhs3.6 billion) to Adnoc Drilling to hire two jack-up offshore rigs and associated manpower and equipment.

The contract, awarded by Adnoc Offshore, will support the expansion of Adnoc’s production capacity as it responds to the growing global demand for lower carbon-intensity oil and gas.

Adnoc Drilling is the largest national drilling company in the Middle East by rig fleet size. This award will leverage the company’s world-class expertise and state-of-the-art rig fleet to further unlock the UAE’s offshore energy resources.

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

Yaser Saeed Almazrouei, Adnoc Upstream Executive Director, said, “This award for the hire of jack-up rigs supports our ongoing efforts to responsibly unlock our lower carbon intensity oil and gas resources alongside our strategic international partners, and contribute to global energy security. Adnoc Drilling’s world-class capabilities remain a key enabler of these efforts. Importantly, this award will also deliver significant in-country value to drive economic growth and diversification, in line with the UAE leadership’s wise directives.”

This award brings the total value of awards from Adnoc Offshore to Adnoc Drilling in 2022 to $5.95 billion (Dhs21.84 billion) to maximise value from Abu Dhabi’s offshore oil and gas resources. In October, Adnoc Drilling was awarded a contract worth $1.52 billion (Dhs5.58 billion) to provide jack-up and island rigs and associated Integrated Drilling Services. This followed two awards in August worth $3.43 billion (Dhs12.59 billion) to hire eight jack-up rigs.

Adnoc Offshore is supporting Adnoc’s drive to expand production capacity to five million barrels per day (mbpd) by 2030 and enable gas self-sufficiency for the UAE, and Adnoc Drilling is critical to delivering on these strategic objectives.

Adnoc Drilling’s rig fleet spans 105 owned rigs, including 28 offshore jack-up units, one of the largest operational jack-up fleets in the world. The company’s expansive rig fleet and expertise are key drivers in its ability to win and service large-scale drilling contracts for customers such as Adnoc Offshore.

Meanwhile Abu Dhabi National Oil Company (Adnoc) on Monday awarded a contract worth $1.53 billion (Dhs5.62 billion) to Adnoc Drilling.

The award 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 awarded the two-year contract which covers the provision of 12 jack-up rigs and two island rigs and the associated Integrated Drilling Services (IDS).

Adnoc Offshore and its strategic international partners continue to maximise value from Abu Dhabi’s offshore oil and gas resources and this award will leverage Abu Dhabi National Oil Company 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.

WAM