Page 4 - MEOG Week 41 2022

MEOG COMMENTARY MEOG

ADNOC Drilling bags

more billion-dollar deals

The Emirati firm has rapidly become the country’s go-to driller
and is benefitting from its relationship with the state oil giant.

UAE THE drilling arm of the Abu Dhabi National Oil increase production capacity to meet the world’s
Co. (ADNOC) picked up more major contracts growing demand for energy with lower carbon
this week by its parent firm, this time focusing intensity oil and gas.”
WHAT: on offshore expansion amid efforts to increase Three days later, ADNOC said it had awarded
More contracts were oil production. a $980mn, 15-year deal to its subsidiary for the
awarded this week Valued at more than $2.5bn, ADNOC Drill- hire of two jack-up offshore rigs and associated
following a massive deal ing’s deals cover the provision of rigs and drilling manpower and equipment.
in August. services as its state-owned parent firm seeks to On this occasion, Almazrouei said that the
raise oil output to 5mn barrels per day from the award “supports our ongoing efforts to responsi-
WHY: current 4.2mn bpd or so. The date for achieving bly unlock our lower carbon intensity oil and gas
ADNOC Drilling has now the uptick has apparently been brought forward resources, alongside our strategic international
been awarded nearly in recent months, to 2025 rather than its previ- partners, and contribute to global energy secu-
$6bn worth of drilling and ous 2030 target date. rity. ADNOC Drilling’s world-class capabilities
rig hire deals by ADNOC continues to be a key enabler of these efforts.”
since the start of the year. Latest deals ADNOC Drilling will support ADNOC
On October 10, ADNOC announced that it had Offshore in expanding its contribution to the
WHAT NEXT: handed its subsidiary $1.53bn worth of drilling national total to 2mn bpd.
It is working to support work covering the provision of 12 jack-ups, two This will focus on expanding output at
ADNOC’s aim of island rigs and associated integrated drilling ser- Upper Zakum – the world’s fourth largest oil-
increasing oil production vices (IDS) for a period of two years. field – from 750,000 bpd to 1mn bpd by 2024,
by around 800,000 bpd by Yaser Saeed Almazrouei, ADNOC Upstream and Lower Zakum to 450,000 bpd by 2025 and
2025 and perhaps 6mn executive director, said: “Through this award, 500,000 bpd by 2028 with local firm National
bpd by the end of the ADNOC Offshore will continue to responsibly Petroleum Construction Co. (NPCC) hav-
decade. harness the energy in Abu Dhabi’s waters, as we ing been hired through a $946mn EPC deal to

P4 www. NEWSBASE .com Week 41 12•October•2022