ADNOC Drilling awarded five-year contract for oilfield services worth up to $800mln
Contract offers resilient earnings through its unique OFS offering and secures accretive growth and returns through 2030 and beyond
Abu Dhabi, UAE – ADNOC Drilling Company PJSC ('ADNOC Drilling' or the 'Company') (ADX symbol: ADNOCDRILL / ISIN: AEA007301012) announced today the award of a contract valued at up to $800 million by ADNOC Onshore for the provision of integrated hydraulic fracturing services for conventional and tight reservoirs. The five-year agreement is set to commence in 3Q 2025, marking another significant milestone in ADNOC Drilling's evolution as a fully integrated technology-enabled energy services company.
This award further reinforces ADNOC Drilling's leadership in high-tech oilfield services, combining next-generation equipment, artificial intelligence (AI) and real-time intelligence to deliver smarter, safer and more sustainable energy outcomes.
Commenting on the award, Abdulla Ateya Al Messabi, ADNOC Drilling CEO, said: 'This significant contract is a powerful endorsement of ADNOC Drilling's expanding capabilities and our trusted partnership with ADNOC Onshore. It reflects our ability to deliver high-impact, technologically advanced fracturing services that will help unlock the UAE's energy potential. As we continue our transformation, we are proud to support the nation's strategic energy goals and reinforce our position as a leader in integrated drilling and completion solutions.'
The contract's scope of work supports ADNOC's strategic goal to accelerate the development of conventional and tight reservoirs across the UAE and includes the design, execution and evaluation of multistage hydraulic fracturing treatments, which will be deployed across a wide range of assets in Abu Dhabi. Fracturing services for conventional and tight reservoirs are used to enhance the flow of oil or gas through existing natural pathways and optimize production by improving flow rates.
ADNOC Drilling will deploy advanced technologies throughout the project to maximize efficiency and performance. Proprietary fracturing simulation software will be used to optimize every stage of the operation, increasing flow rates and overall hydrocarbon recovery. Intelligent fluid systems will adapt dynamically in real-time to reservoir conditions, improving fracture efficiency and reducing environmental impact. Automated pumping units and blending systems will enhance safety, streamline operations and reduce the need for on-site manpower.
The economic and financial impact of this contract further reaffirms the 2025 guidance and the 2026 revenue guidance. It also provides further growth and upside in 2027 onwards beyond the current guidance. This growth will be accretive to the current return on equity and earnings per share. The contract has a ceiling cumulative value of up to $800 million in revenue for ADNOC Drilling, subject to client discretion. Actual revenues will depend on the pace and extent of call-offs.
This marks the fifth contract in just over two months, including a $1.63 billion five-year contract for Integrated Drilling Services (IDS), a $806 million contract for three island rigs and a $1.15 billion 15-year contract for two jack-up rigs, all awarded by ADNOC Offshore, and a $400m backlog of ADNOC Drilling's signed acquisition in Oman and Kuwait.
About ADNOC Drilling
ADNOC Drilling, listed on the Abu Dhabi Securities Exchange (ADX symbol 'ADNOCDRILL'; ISIN AEA007301012), is the largest drilling and integrated drilling services (IDS) company in the Middle East by fleet size, owning and operating one of the largest multi-discipline drilling fleets in the world. The Company is a critical link in ADNOC's upstream business, as ADNOC responsibly accelerates its production capacity targets in light of globally increasing demand for energy and enables the UAE's gas growth. ADNOC Drilling incorporated IDS into its portfolio in 2018 and now offers a total solution of start-to-finish wells and associated services that encompass the entire drilling value chain. To find out more, visit: www.adnocdrilling.ae
For media inquiries, please contact: media.adnocdrilling@adnoc.ae
For investor inquiries, please contact: ir@adnocdrilling.ae
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