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Abu Dhabi National Oil Corporation (ADNOC) yesterday announced contracts worth a total of 7.1 billion dirhams ($ 1.94 billion) to boost the growth of drilling operations. This comes against the backdrop of ADNOC’s recently announced major investments in the drilling equipment and services sector to achieve the UAE’s self-sufficiency goal of increasing crude oil production to 5 million barrels per day by 2030. In the gas.

These contracts are the largest of their kind in the oil and gas industry, and include the provision of wireline recording services for information on drilling and well drilling. The contracts were awarded through competitive bidding to ADNOC Drilling, Schlumberger SA Middle East, Halliburton Worldwide Abu Dhabi and Weatherford Bin Hamuda.

His Excellency Dr. Sultan Al Jaber, Minister of Industry and Advanced Technology, Managing Director and CEO of ADNOC Group, said: “The awarding of these agreements is part of ADNOC’s investment approach to maximize benefits from Abu Dhabi’s hydrocarbon resources and growth. Value for the country, while maintaining the UAE’s position as a reliable global supplier of low carbon energy and ADNOC’s responsible energy producer. To achieve benefits, adhere to the guidelines of wise leadership and the 50 principles that create the clear path to a sustainable economy. Development.

5 years

These agreements cover ADNOC’s aforementioned services overseas and offshore for a period of 5 years, with the option of extending to two years with the same terms and conditions. .

Yasser Al Masroui, CEO of ADNOC’s Research, Development and Manufacturing, said: “The scope of contract services provided for ADNOC drilling reflects the company’s growth and development in providing well-manufactured and integrated drilling services. The role of ADNOC drilling is crucial in the implementation of the ADNOC Group’s plans to increase oil and gas production capacity. We hope that awarding these contracts to the four leading companies will contribute to achieving significant additional local value and creating more employment opportunities for highly qualified citizens under the guidance of intelligent leadership.

Added value

More than 80% of the total value of the contracts will be diverted to the local economy through ADNOC’s in-house value addition program. Implement the goals of the “Fifty Principles”.

The contract awarded for ADNOC drilling is the largest in terms of value and includes a variety of services including open well measurement recording, drilling and drilling hole packaging. The purpose of the Services for this Contract is to achieve the growth achieved by ADNOC drilling and expansion of its services and its strategic partnership after becoming an integrated service provider for drilling and manufacturing wells. In 2018, Baker Hughes acquired a 5% stake in ADNOC Drilling.

Fixed investments

In November 2021, ADNOC announced the implementation of record investments of approximately 22 billion dirhams ($ 6 billion) to stimulate growth in drilling operations. , Drilling of tools and equipment and manufacture of wells and related services, casing and lining pipe carriers and cement fitting parts.

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