Adnoc, e& to build energy industry’s largest private 5G wireless network

Adnoc and e&, the global technology group, announced on Wednesday a strategic project to build the energy industry’s largest private 5G wireless network, spanning 11,000 square kilometres (sq km).

The 5G network will deliver high-bandwidth connectivity across Adnoc’s onshore and offshore operations. This will enable Adnoc to further integrate its advanced artificial intelligence (AI) solutions at its most remote facilities and reduce costs through automation, improve efficiency, minimise emissions and enhance the safety of its people. The project is due to be completed in 2025 and is expected to generate $1.5 billion (Dhs5.5 billion) in value during its first five years of operation.

Dr. Sultan Ahmed Al Jaber, UAE Minister of Industry and Advanced Technology and Adnoc Managing Director and Group CEO, said, “This landmark project with e& is a milestone step in Adnoc’s journey to become the world’s most AI-enabled energy company. Global demand is rising for both energy and AI, so by investing in cutting-edge connectivity across our operations, we can ensure that we continue providing secure, reliable and responsible energy to our customers. As we grow our diversified energy portfolio, this strategic partnership will generate value and enable us to make faster, smarter decisions, from the control room to the boardroom, future-proof our business and keep our people and the environment safe.”

Once completed, the 5G network will relay information from sensors embedded in more than 12,000 wells and pipelines to autonomous control rooms, to help make real-time recommendations to increase the lifespan of these assets and ensure safety in the field. The network will also allow for the digitalisation of wellheads and provide end-to-end visibility over operations, thereby driving productivity across the company’s entire value chain.

Jassem Mohamed Bu Ataba Alzaabi, Chairman of e&, said, “e&’s collaboration with Adnoc will enable the creation of a cutting-edge private 5G network underscoring our dedication to harnessing technology and powering sustainable and intelligent transformation in the energy sector. With connectivity being the backbone of technological advancements, we’re leveraging our expertise as a pioneer in network and AI innovations to drive breakthroughs in the energy sector and spur progress and success across industries. Beyond this partnership, we continue to work with Adnoc and other major players across multiple sectors to set new industry standards and redefine what’s possible.”

Building on Adnoc’s longstanding strategy to develop and deploy pioneering technologies, the 5G network forms part of a multi-year programme to accelerate the deployment of a suite of AI solutions across the company’s value chain and become the world’s most AI-enabled energy company.

Meanwhile Adnoc Drilling Company confirmed the award of an estimated total contract value of $733 million, by Adnoc Offshore for three island drilling rigs in support of the growing operations at the offshore Zakum field.

Abdulrahman Abdulla Al Seiari, Chief Executive Officer of Adnoc Drilling, said, “Adnoc Drilling is honoured to receive this substantial award, which marks a significant milestone in our company’s accelerated growth journey. These new island rigs will be the most advanced in the world, embracing artificial intelligence, the most transformative technology of our generation.

“Our partnership with Honghua Group will amplify the creativity and ingenuity of our industry as we design and build these rigs of the future that drive efficiency and safety and deliver exceptional value for our customer Adnoc Offshore.”

Commenting on the award, Tayba Abdul Rahim Al Hashemi, Chief Executive Officer of Adnoc Offshore, said, “Adnoc Drilling’s technical expertise and enhanced capabilities are key enablers as we safely and sustainably accelerate to meet the world’s growing energy demands. This award will strengthen our partnership in the future as we work together to harness AI and innovation to maximise energy, minimise emissions and unlock significant value for stakeholders.”

The contract award will follow existing agreements with revenue underpinned by the long-term duration with guaranteed returns. The three new island rigs will operate on existing and newly constructed innovative artificial islands at the offshore Zakum field for drilling and completion of wells.

The rigs, which will be constructed by Honghua Group, will incorporate industry leading technology and automation. Delivery of the rigs and commencement of operations is expected during 2026. The rigs will be designed and built as part of a partnership between Adnoc Drilling and Honghua Group.

This partnership has been specifically formed to harness the transformative nature of AI, digitisation, and advanced technology in the design and operation of these next generation drilling rigs. Adnoc Drilling and Honghua Group will look to also collaborate with AIQ, an Abu Dhabi based artificial intelligence (AI) pioneer contributing to the energy sector globally.

The design of the rig operating systems will look to utilise real-time condition, performance and utilisation data to create actionable insights, enhancing rig performance and increasing efficiency, leading to improvements in safety and well delivery times.

WAM