Latest news with #ADESHolding
Zawya
2 days ago
- Business
- Zawya
Saudi: ADES Holding expands West African footprint via $34.4mln contract award
Riyadh – ADES Holding Company has been awarded a SAR 128.90 million contract for the use of Admarine 510 in Cameroon, marking the Saudi group's entry into its 13th country of operations. The one-year deal also aligns with the company's expansion across the high-potential West African market, according to a press release. The contract has been awarded by Addax Petroleum, a subsidiary of Sinopec Group. It is expected to commence in the fourth quarter (Q4) of 2025. The contract covers a firm twelve-month drilling campaign, with two optional extensions of six months each, for a total potential duration of up to 24 months. Mohamed Farouk, CEO of ADES Holding, said: 'This award reflects the growing trust in ADES as a leading provider of offshore drilling services in the region, and we are particularly pleased to be working directly with Addax Petroleum, a reputable operator affiliated with a major national oil company.' 'The award of this long-term contract reinforces our ability to respond quickly to new opportunities and sustain fleet deployment across our core markets,' Farouk added. He noted: 'By building on our recent successes in Nigeria and now expanding into Cameroon, we are building the right critical mass for optimized operations as we reinforce our long-term commitment to West Africa aiming to deliver high-quality, efficient, and safe drilling services to our clients.' Last April, ADES Holding extended three of its offshore jackup rigs operating in Egypt, with a total estimated backlog value of SAR 673.50 million ($179.60 million).
Argaam
19-05-2025
- Business
- Argaam
ADES to unveil new contract awards in coming period: CEO
ADES Holding Co.'s CEO Mohamed Abdul Khaleq said that there are a number of new contracts that will be announced sequentially in the coming period, adding that discussions on these contracts are on track. In an interview with CNBC Arabia, the top executive stated that the company signed contracts worth SAR 3.6 billion during April and May, bringing its total projects backlog to SAR 29 billion, which is the highest in the company's history and also the highest at the industry level globally. Regarding the renewal of a platform contract with Saudi Aramco for a period of 10 years, at a value of SAR 1.61 billion, the top executive said that the contract with Aramco was renewed with an increase of 20% over its previous value, noting that the company has about 33 contracts with Aramco. Aramco represents about 70% of the total backlog, which amounts to about SAR 29 billion, Kuwait Oil Company (12%), Qatar (4%), Egypt (3%), and the rest is distributed among the countries of the world. The change in the exchange rate of the Egyptian pound had no impact on the company's contracts in Egypt, ss they are in the US dollar, said Abdul Khalek, indicating that even if there are some operations carried out in Egyptian pounds, they are in accordance with the exchange rate of the Central Bank of Egypt, which gives the company a hedge against the decline of the currency. The CEO also pointed out that ADES has about SAR 11.5 billion in debt, but the contracts backlog represents about three times the debt size, which enables the company to collect about SAR 14.5 billion from them to repay debts and distribute semi-annual cash dividends. He also stressed that the company currently has no intention of issuing Sukuk because the last financing secured by the company was almost not consumed, and there is still about $3 billion remaining. Asked about the impact of reducing interest rates on the company, the CEO said that each 25-bps reduction in interest rates reflects positively on the company's profits by about SAR 15 million annually.
Zawya
19-05-2025
- Business
- Zawya
ADES signs second offshore rig renewal contract with Saudi Aramco
ADES Holding Company has renewed a contract for an offshore rig with Saudi Aramco for the second consecutive month after temporarily suspending six rigs in the Kingdom last year. The latest contract is for one of the offshore jackup rigs, which was suspended last year. The 10-year contract has an estimated value of 1.61 billion Saudi riyals ($429 million), the company said in a statement to the Saudi stock exchange on Monday. The renewal will significantly add revenue visibility and backlog sustainability. The rig is currently operating on a contract in Thailand, and the exact rig commencement date is to be confirmed later, the statement said. In April 2025, the company signed a SAR1.1 billion ($290 million) renewal contract for one standard offshore jackup rig for 10 years. ADES had mutually agreed with its client in Saudi Arabia to temporarily suspend the operations on five of its 33 offshore jack-up rigs in the Kingdom for up to 12 months in April 2024. The announcement had come after Saudi Aramco received a directive from the kingdom's energy ministry in January 2024 to maintain its Maximum Sustainable Capacity (MSC) at 12 million barrels per day (MMBD), and not to continue increasing MSC to 13 mmbd. ADES' total backlog stands at SAR 26.9 billion as of March 31, 2025, according to its first quarter 2025 financials. (Editing by Anoop Menon) (
Argaam
19-05-2025
- Business
- Argaam
ADES, Aramco renew Saudi platform contract for 10 years at SAR 1.61B
ADES Holding Co. signed a renewal contract with Saudi Aramco on May 18 for one of its suspended offshore platforms in Saudi Arabia for a period of 10 years, at an estimated cumulative value of SAR 1.61 billion ($429 million). According to a statement to Tadawul, the renewal is for a confirmed period of 10 years, which will significantly enhance revenue visibility and support the sustainability of the company's backlog. The rig is currently operating under a contract in Thailand, the statement noted, adding that the start date of operations under the renewed contract will be confirmed at a later time. ADES highlighted that this rig was among those temporarily suspended in the Kingdom of Saudi Arabia earlier. The renewal reflects the longstanding and strong relationship between ADES and its client, and further reinforces the group's positive outlook for its operations in Saudi Arabia.
Argaam
13-05-2025
- Business
- Argaam
ADES secures SAR 816M offshore drilling contract extension in Qatar
ADES Holding Co. announced today, May 13, the extension of its offshore drilling contract with North Oil Co. (NOC) in Qatar for the "Sapphire Driller" jackup rig, according to a Tadawul statement. The extension includes a firm duration of four years, with three additional one-year options, allowing up to three years extension. The total cumulative value, including optional extensions, is estimated at SAR 816 million ($217.6 million). The renewal comes at a better daily rate. The contract adds significant revenue visibility and strengthens backlog sustainability, further supporting ADES' long-term growth trajectory in the region. The contract's financial impact will be immediate, the statement said.
