ADNOC Drilling Purchases Two Further Premium Jack-Up Rigs as Part of Accelerated Growth Strategy

Source Press Release
Company ADNOC 
Tags Asset Deals, Deals, Oil Services
Date September 26, 2022

Two further premium offshore jack-up rigs acquired for $140 million to meet ADNOC’s plan to raise and sustain production capacity

Purchase reinforces accelerated rig fleet expansion program, with further acquisitions in the pipeline

Acquisition further consolidates ADNOC Drilling’s position as owner of one of the largest operating offshore jack-up fleets in the world  

ADNOC Drilling Company PJSC (ADNOC Drilling or the Company”) (ADX symbol: ADNOCDRILL / ISIN: AEA007301012) today announced it has signed a Sale and Purchase Agreement (“SPA”) to acquire an additional two premium offshore jack-up drilling units (the “rigs”).  

The acquisition, which underpins the company’s accelerated fleet expansion and enterprising growth, is the fourth confirmed by the Company in recent months. Earlier sale and purchase agreements were signed on 30 May (for two rigs), 10 June (one rig) and 24 August (one rig).  

The two new rigs have a combined cost of $140 million and will join the ADNOC Drilling fleet and commence operations by the end of 2022.  

Abdulrahman Abdullah Al Seiari, Chief Executive Officer of ADNOC Drilling, commented: “ADNOC Drilling takes another exciting step in executing our accelerated growth strategy as a key enabler of  ADNOC’s production capacity. The acquisition of these new jack-up rigs consolidates our position as the owner of one of the largest operating jack-up fleets in the world and will significantly boost Company revenues, cash flow and shareholder returns over the coming years.”

Since listing on the Abu Dhabi Securities Exchange in October 2021, ADNOC Drilling has rapidly expanded its fleet from 96 to 105 owned rigs, as of 31 July 2022. With the addition of these two premium jack-up rigs, the Company will own one of the largest operating fleets of offshore jack-up rigs in the world, with 32 rigs, and has plans for further fleet growth.

ADNOC Drilling continues to demonstrate strong and resilient growth combined with a sustainable and progressive dividend. In the first half of 2022 the Company delivered revenue of $1.27 billion, a 13% increase year-on-year, with $379 million in net income – a 34% increase. It also confirmed that the interim dividend per share increased by 5% to 7.83 fils per share, bringing the first payment of fiscal year 2022 to $341 million.

Source: EvaluateEnergy® ©2022 EvaluateEnergy Ltd