To support the increase of its oil production capacity to 5 million barrels per day during 2030

ADNOC invests 2.8 billion dirhams in drilling support services

Implementation of integrated services to prepare and equip wells in the artificial “ADNOC” islands.

From the source

The Abu Dhabi National Oil Company (ADNOC) announced yesterday that it has invested 2.8 billion dirhams (about $763.7 million) in the implementation of integrated services to prepare and equip wells on its artificial islands, in the Upper Zakum and Sath al-Razbut (Serb) fields. To support the increase of its oil production capacity to five million barrels per day during 2030.

3 decades

ADNOC stated, in a statement, that this investment comes in the form of three contracts awarded by "ADNOC Marine" to "Schlumberger", "ADNOC Drilling" and "Halliburton", after a competitive bidding, explaining that the value of the Schlumberger contract in the award process amounts to 1.4 billion dirhams ($381.18 million), while the value of the “ADNOC Drilling” contract amounted to 839.58 million dirhams ($228.71 million), while the value of the “Halliburton” contract amounted to 564.85 million dirhams ($153.87 million).

Value Added

ADNOC stated that more than 80% of the total value of contracts will be redirected to the local economy through the company's program, to enhance the local added value over the five-year period of contracts, which confirms ADNOC's keenness and commitment to redirecting the value locally, and keeping it within The state through the contracts you award.

Contract scope

The scope of contracts includes the implementation of tubing services connected to the piped upstream tools, stimulation services, including equipment systems, chemicals and fluids, well testing services, production logging services and tools, saturation control, and well safety.

Unifying the scope of work implementation through integrated service contracts, instead of implementing well preparation and preparation services through several separate contracts, confirms ADNOC's smart approach to procurement, and this method also gives ADNOC Marine more operational flexibility, as well as reducing costs. Unification of responsibility between contractors.

drilling efficiency

Yasser Saeed Al Mazrouei, CEO of ADNOC’s Exploration, Development and Production Department, said: “The award of these important contracts for integrated services to prepare and prepare wells will contribute to enhancing the efficiency of drilling and related services, and reduce costs in our offshore operations, while we continue to intensify our drilling activities. To increase our production capacity and achieve gas self-sufficiency for the UAE.”

He added: “The contracting companies executing the services will provide the best expertise and technologies thanks to their track record of achievements in this field, as the contract obtained by (ADNOC Drilling) reflects the significant expansion of its range of services, following the development of its capabilities and its successful transformation into an integrated services company in the field of drilling and preparing wells. ».

Al Mazrouei indicated that most importantly, the large in-country added value resulting from the contracts will contribute to providing new job opportunities for the private sector, and supporting local economic growth in the post-Covid-19 phase.

important contribution

For his part, ADNOC Offshore CEO Ahmed Saqr Al-Suwaidi said, “The new contracts are an important contribution to ADNOC Offshore’s plans to increase our oil production capacity to more than two million barrels per day in the coming years, to support ADNOC’s strategy. Integrated 2030 for Smart Growth.

He added that "the award of contracts comes after a competitive bidding that included a careful evaluation to support local economic growth and diversification, through the (ADNOC) program to enhance the local added value."

6 artificial islands covered by new contracts

The six artificial islands covered by the new contracts include Al-Saifiya, Al-Tuk, Al-Ghlan and Umm Al-Anbar in the Upper Zakum field, and Al-Qata and Buskin in the Sarb field.

The artificial islands achieve significant cost savings as well as environmental protection, as they allow the use of low-cost land drilling rigs, instead of high-cost offshore dredgers.

ADNOC has a proven track record of developing artificial islands and drilling the longest wells in the Middle East, as part of its ongoing commitment to protecting the marine environment in the UAE, as well as enhancing operational efficiency and safety procedures.

• Redirect 80% of the total value of contracts to the local economy.

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