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ADNOC Drilling Awarded More Than $3.4 Billion in Contracts to Drive Offshore Production Capacity Growth

Two contracts totaling more than $3.4 Billion awarded to ADNOC Drilling to hire 8 jack-up rigs to expand offshore drilling activities 

ADNOC Offshore and its strategic international partners award mega contracts to drive ADNOC’s production capacity growth

Over 80% of the contract value will flow back into the UAE’s economy under ADNOC’s In-Country Value program

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Abu Dhabi, UAE – August 04, 2022: Abu Dhabi National Oil Company (ADNOC) announced today two contracts totalling more than $3.4 billion (AED12.6 billion) have been awarded to ADNOC Drilling to hire 8 jack-up offshore rigs. The contracts, valued at $1.5 billion (AED 5.6 billion) and $1.9 billion (AED 7 billion) respectively, awarded by ADNOC Offshore, will support the expansion of ADNOC’s crude oil production capacity to five million barrels per day (mmbpd) by 2030 and enable gas self-sufficiency for the UAE.

Over the life of the 15-year contracts, ADNOC Drilling’s state-of-the-art rig fleet will enable ADNOC and its strategic international partners to further unlock Abu Dhabi’s offshore oil and gas resources, creating significant value for ADNOC, its partners and the UAE.

Over 80% of the value of the awards will flow back into the UAE’s economy under ADNOC’s successful In-Country Value (ICV) program, supporting local economic growth and diversification.

His Excellency Dr. Sultan Ahmed Al Jaber, Minister of Industry and Advanced Technology and ADNOC Managing Director and Group CEO, said: “This world-leading investment will significantly expand our drilling activity to accelerate growth, drive value and responsibly unlock the UAE’s resources in response to globally rising demand for energy. ADNOC Drilling’s state-of-the-art fleet and market-leading capabilities, will be a key enabler as ADNOC strengthens its position as a leading low-cost and low-carbon energy producer. We are focused on delivering on our 2030 strategy, in support of the directives of our wise leadership to grow and diversify the UAE’s economy.”

The jack-up rigs will be hired along with manpower and equipment to support drilling operations across ADNOC’s offshore fields, which account for about half of ADNOC’s production capacity. ADNOC Drilling is the largest national drilling company in the Middle East by rig fleet size, with 105 owned rigs, including 27 offshore jack-up units, one of the largest operational jack-up fleets in the world. 

The company’s expansive rig fleet and market leading expertise remain key drivers in its ability to win and service large-scale drilling contracts for customers such as ADNOC Offshore, and to enable the unlocking of significant potential in Abu Dhabi’s waters. 

ADNOC recently awarded ADNOC Drilling two further substantial contracts totalling $2 billion (AED 7.49 billion) for integrated drilling services and the provision of Island Drilling Units at its Hail and Ghasha Gas Development Project.
 

Release Details

August 04, 2022
Abu Dhabi

About ADNOC

ADNOC is a leading diversified energy and petrochemicals group wholly owned by the Emirate of Abu Dhabi. ADNOC’s objective is to maximize the value of the Emirate’s vast hydrocarbon reserves through responsible and sustainable exploration and production to support the United Arab Emirates’ economic growth and diversification. To find out more, visit www.adnoc.ae

For media inquiries please contact:

media@adnoc.ae