Abu Dhabi National Oil Company (ADNOC) has awarded a two-year contract worth $1.53bn to ADNOC Drilling to support the expansion of its offshore operations.
The contract, awarded through ADNOC Offshore, aims to enhance ADNOC’s production capacity and address the growing demand for low-carbon intensity oil and gas.
ADNOC Drilling wins $1.53bn contract to boost ADNOC’s offshore operations. Credit: Abu Dhabi National Oil Company)
Under the contract, ADNOC Drilling will provide 12 jack-up rigs and two island rigs, along with the related Integrated Drilling Services (IDS).
The company will leverage its comprehensive offering, along with its position as the largest drilling company in the region to enhance value while minimising environmental impact.
ADNOC said that the contract will help the company expand its crude oil production capacity to five million barrels per day (mmbpd) by 2030, and enable UAE to achieve gas self-sufficiency.
Also, more than 80% of the award value will flow back into the UAE’s economy under the company’s In-Country Value (ICV) programme.
ADNOC Upstream executive director Yaser Saeed Almazrouei 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 maximize value and minimize the environmental footprint 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.”
In 2018, ADNOC Drilling has rolled out its IDS offering, which helped ADNOC with more than $250m in savings for its customers.
Earlier this year, ADNOC awarded two contracts totalling more than $3.4bn to ADNOC Drilling to support the expansion of its crude oil production capacity
The contracts, valued at $1.5bn and $1.9bn respectively, were awarded by ADNOC Offshore and will support the expansion of ADNOC’s crude oil production capacity.
