Adnoc Drilling purchases three high-specification jack-up rigs

The acquisition underpins the company’s accelerated fleet expansion and enterprising growth strategy

As the company’s new rigs progressively enter the fleet, Adnoc Drilling expects a further boost to its financial and operating performance to the benefit of its clients, shareholders and the UAE. — Supplied photo

A Staff Reporter

Published: Mon 21 Nov 2022, 7:08 PM

Adnoc Drilling Company on Monday announced that it has signed an agreement to acquire an additional three brand new high-specification offshore jack-up drilling units.

The cost of the acquisition is part of the company’s three-year guidance on capital expenditure and its strategic growth plans.

The acquisition underpins the company’s accelerated fleet expansion and enterprising growth strategy. Earlier sale and purchase agreements were signed on May 30 (for two rigs), June 10 (one rig) and August 24 (one rig). The latest three rigs have a combined cost of $320 million (Dh1.17 billion) and are premium high-specification jack-up rigs.

Abdulrahman Abdullah Al Seiari, chief executive officer of Adnoc Drilling, said: “We continue to execute our bold growth strategy as a key enabler of Adnoc’s ambitious production capacity targets. The latest acquisition of these premium rigs will be central to our success and cement our position as one of the world’s largest jack-up rig fleet owners, as we strive to significantly boost revenues and shareholder returns over the coming years.”

As the company’s new rigs progressively enter the fleet, Adnoc Drilling expects a further boost to its financial and operating performance to the benefit of its clients, shareholders and the UAE.

Since listing on the Abu Dhabi Securities Exchange in October 2021, Adnoc Drilling has rapidly expanded its fleet from 95 to 108 owned rigs, as of 30th September. With the addition of the latest three high-specification rigs the Company will operate one of the largest offshore jack-up fleets in the world, with 30 rigs, and plans further growth in the short term.

Adnoc Drilling continues to demonstrate strong and resilient growth combined with a sustainable and progressive dividend policy. In the nine months to September 30, 2022, the company delivered revenue of $1.94 billion, a 15 per cent increase year-on-year, with $568 million in net profit – a 24 per cent increase.

— muzaffarrizvi@khaleejtimes.com