ADNOC Drilling secures $3.4bn contract to hire 8 jack-up offshore rigs

Abu Dhabi National Oil Company (ADNOC) has awarded two contracts totaling more than $3.4 billion to ADNOC Drilling to hire 8 jack-up offshore rigs.

The contracts, valued at $1.5 billion and $1.9 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.

ADNOC and its strategic international partners will be able to further unlock Abu Dhabi’s offshore oil and gas resources over the course of the 15-year contracts owing to ADNOC Drilling’s cutting-edge rig fleet, which is expected to create significant value for ADNOC, its partners and the UAE. Over 80 percent 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.

“This world-leading investment will significantly expand our drilling activity to accelerate growth, and drive value 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 supporting drilling operations across ADNOC’s offshore fields, which account for about half of ADNOC’s production capacity.

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.

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