ADNOC Drilling Company has announced the award of a landmark $1.15 billion, 15-year contract by ADNOC Offshore to deploy two state-of-the-art jack-up rigs, further solidifying its position as a key enabler of the UAE’s long-term energy ambitions.
This new contract will build upon existing agreements, ensure consistent and accretive returns, and bolster ADNOC Drilling’s long-term revenue base through 2040 and beyond.
“This new contract is a clear vote of confidence in ADNOC Drilling’s technical leadership, operational excellence and long-term value creation,” said Abdulrahman Abdulla Al Seiari, CEO of ADNOC Drilling. “By integrating artificial intelligence (AI), automation and digitalisation capabilities, the two new jack-up rigs, our newest and most advanced jack-up rigs, will ensure superior efficiency and performance for our client ADNOC Offshore.”
Al Seiari emphasized that the contract will help ADNOC Drilling further reinforce its role in meeting ADNOC’s production capacity goals and delivering sustainable long-term growth for shareholders.
With a fleet of 47 offshore rigs, ADNOC Drilling operates one of the largest offshore drilling fleets globally. It is strategically positioned to support increasing demand and the UAE’s comprehensive energy strategy. The company’s ability to rapidly deploy resources while maintaining best-in-class safety and performance standards makes it a reliable partner for mega energy projects.
“In the past month, ADNOC Offshore has awarded long-term contracts worth c. $3.6 billion to ADNOC Drilling to safely accelerate our production capacity growth plans,” said Tayba Abdul Rahim Al Hashemi, CEO of ADNOC Offshore. “ADNOC Drilling’s advanced fleet of jack-up and island rigs, market leading integrated drilling services and cutting-edge technologies are critical enablers to deliver ADNOC’s ambitious strategy.”
The two new rigs, built and equipped at the Lamprell shipyard in Sharjah, are designed with the latest digital, automation, and AI capabilities. This initiative reflects ADNOC Drilling’s ongoing commitment to In-Country Value (ICV), driving local innovation, partnerships, and economic development within the UAE.
The rigs are expected to commence operations by the end of Q2 2025 and generate revenue in the second half of the year. These long-term engagements are a strong foundation for recurring earnings growth, further de-risking ADNOC Drilling’s 2025 and medium-term guidance.
The award also underscores ADNOC Drilling’s resilient business model, offering predictable, sustainable returns and reinforcing investor confidence in the company’s forward-looking growth strategy.
–Input WAM
