Saudi ADES Grabs $93.3m Contract for Jack-Up Rig Operations in Qatar

ADES Holding Company ("ADES"), a prominent global provider of oil and gas drilling services, is excited to announce the acquisition of a Letter of Award (LOA) from a major International Oil Companies (IOCs). This LOA signifies a one-year firm jack-up drilling contract in Qatar, with the option for extensions up to 18 months. This development aligns perfectly with ADES' previous indications of an upcoming opportunity in the region, further solidifying its foothold in the vital Qatari market and bolstering its strategy for regional expansion.

Here are the key highlights of the award:

•       The contract entails a firm one-year term with the possibility of three additional six-month extensions.

•       Operations are scheduled to commence in the second half of 2024, utilizing one of ADES' jack-up drilling units.

•      This significant award from the IOC ensures the maintenance of ADES' market share in Qatar, maintaining a three-rig operation following the planned relocation of its Emerald Driller to Indonesia, expected in the latter part of 2024.

•       The total contract value, encompassing both the firm and optional terms, stands at approximately SAR 350 ($93.3) million.

Dr. Mohamed Farouk, CEO of ADES Holding, expressed his satisfaction with the LOA, stating, "We are pleased with our swift ability to secure new campaigns for the five recently suspended rigs in KSA. The availability of new capacities has enabled us to promptly identify a technically suitable unit to sustain our three-rig presence in Qatar following the planned relocation of our jack-up rig, Emerald Driller, from Qatar to Indonesia in the second half of 2024." He further highlighted the outstanding safety and operational performance delivered by the Emerald Driller during its tenure in the Al-Khaleej field over the past few years. Dr. Farouk emphasized ADES' commitment to continuing its journey in Qatar, delivering exceptional safety and operational performance synonymous with the ADES brand.

ADES Holding Company, headquartered in Al Khobar, Saudi Arabia, is a global leader in drilling services. With a workforce exceeding 8,000 and a fleet of 87 rigs operating across nine nations, ADES boasts a diverse portfolio, including 38 onshore drilling rigs, 46 jack-up offshore drilling rigs, two jack-up barges, and one mobile offshore production unit (MOPU). ADES takes pride in delivering safe and client-focused services through its top-tier operational excellence initiatives and skilled workforce. The company's resilient business model and cost-effective structure have played a pivotal role in its journey from a modest single-string operation two decades ago to its current status as the world's foremost offshore drilling service provider.