This latest venture comes within the framework of ADES’ strategy to not only secure its position within the Qatari market but also globally.
Saudi rig operating company ADES Holding has secured a $93.3 jack-up drilling contract to operate in Qatar.
On Sunday, the Saudi oil and gas drilling provider revealed that it received a letter of award from “one of the major International Oil Companies (IOCs) for a one-year firm jack-up drilling contract in Qatar with optional extensions of up to 18 months.”
Saudi media reported that the IOC was the French multinational energy and petroleum company, TotalEnergies.
ADES’ news release added that it will utilise one of its own offshore jack-up drilling units, with operations set to start in the second half of 2024.
The Saudi company is also confident this endeavour will not only solidify its footing in the Qatari market but also reinforce its regional expansion strategy.
Remarking on the company’s latest milestone, Mohamed Farouk, CEO of ADES Holding said: “New capacities made available have allowed us to quickly find a technically suitable unit to maintain our three-rig presence in Qatar following the planned departure of our jackup rig, Emerald Driller, from Qatar to Indonesia in the second half of 2024.”
ADES entry into Southeast Asia
In 2023, ADES secured a long-term drilling contract with Pertamina Drilling Services Indonesia.
The three-year contract, worth $214 million, marked the drilling provider’s first venture into the Southeast Asian market and leveraged its international operations to eight countries.
ADES’ CEO said that the company’s expansion into Southeast Asia, “underpins the Group‘s continuous focus on backlog replenishment through long-term contracts, offering robust cashflow visibility, and is a testament to the Group’s strategy to tap into diversified and value-accretive markets.”
Acquisition of EDC
Farouk further discussed the positive impact the Emerald Driller fleet has had on ADES’ operations, especially in light of the company’s expansion into Qatar.
“The Emerald Driller had delivered an exceptional safety and operational performance during its operation in the Al-Khaleej field over the past few years, and we look forward to continuing our journey in Qatar with our client and to providing exceptional safety and operational performance that has become synonymous with the ADES name,” he said.
In 2022, Vantage Holdings International sold its Emerald Driller Co. (EDC) subsidiary to ADES for $170 million.
The EDC fleet includes the Emerald Driller, Sapphire Driller and Aquamarine Driller jackups, which all operate in Qatar.