UAE state-owned oil company, Abu Dhabi National Oil Company (ADNOC) has invested $763.7 million (AED2.8 billion) in integrated rigless services across six of its artificial islands in the Upper Zakum and Satah Al Razboot (SARB) fields.
According to the statement, the investment intends to support the production capacity expansion of the company to 5 million barrels per day (mmbpd) by 2030. Further, the investment is in the form of three contracts awarded by ADNOC Offshore to Schlumberger, ADNOC Drilling, and Halliburton after a competitive tender process.
“Schlumberger’s share of the award is valued at $381.18 million (AED1.4 billion), ADNOC Drilling’s share is valued at $228.71 million (AED839.58 million), and Halliburton’s share is valued at $153.87 million (AED564.85 million),” as per the reports.
The scope of the contracts includes coiled tubing services with thru-tubing downhole tools, stimulation services, comprising equipment and chemicals/fluid systems, surface well testing services, wireline, and production logging services and tools, saturation monitoring, and well integrity.
Yaser Saeed Almazrouei Upstream Executive Director ADNOC
“These important awards for integrated rigless services will drive efficiencies of drilling and related services, and optimize costs in our Offshore operations as we ramp up our drilling activities to increase our production capacity and enable gas self-sufficiency for the UAE. The contractors bring best-in-class expertise and technologies with a proven track record in the industry and ADNOC Drilling’s scope reflects its expanded service profile following its successful transformation into a fully integrated drilling services (IDS) company, enabling it to offer its clients start-to-finish well drilling and construction services. Importantly, the high In-Country Value generated from the awards will stimulate new business opportunities for the private sector and support the UAE’s post-COVID economic growth.”
“These contracts are an important contributor to ADNOC Offshore’s plans to build our production capacity to over 2 million barrels a day in the coming years to support the ADNOC Group’s smart growth strategy. The award follows a highly competitive bid process, which included a rigorous assessment of how much of the contract value would support the growth and diversification of the UAE’s economy through ADNOC’s In-Country Value Program,” noted Mr. Ahmad Saqer Al-Suwaidi, CEO of ADNOC Offshore.
The six artificial islands covered by the awards are Asseifiya, Ettouk, Al Ghallan, and Umm Al Anbar in the Upper Zakum field and Al Qatia and Bu Sikeen in the SARB field. The artificial islands offer significant cost and environmental benefits, particularly in shallow water, by allowing the use of lower-cost land drilling rigs instead of higher-cost offshore jack-up drilling rigs.
