Adnoc Drilling Company has been awarded a contract valued at $733 million by Adnoc Offshore for three island drilling rigs to support operations at the offshore Zakum field. These new rigs are said to be the most advanced in the world, incorporating artificial intelligence technology. Adnoc Drilling CEO Abdulrahman Abdulla Al Seiari expressed gratitude for the award and emphasized the importance of innovation and efficiency in the industry.
The partnership between Adnoc Drilling and Honghua Group is geared towards driving creativity and ingenuity in the design and construction of these cutting-edge rigs. Adnoc Offshore CEO Tayba Abdul Rahim Al Hashemi highlighted the technical expertise of Adnoc Drilling as a key enabler in meeting the world’s growing energy demands sustainably. The use of AI and innovation in these rigs is expected to maximize energy, minimize emissions, and create significant value for stakeholders.
The contract award includes revenue underpinned by long-term agreements, with guaranteed returns. The island rigs will be constructed by HH and are expected to be operational by 2026. The collaboration between Adnoc Drilling and Honghua Group aims to leverage AI, digitization, and advanced technology in the design and operation of these next-generation drilling rigs. The focus will be on enhancing rig performance, increasing efficiency, and improving safety.
The design of the rig operating systems will utilize real-time data to enhance performance and efficiency, leading to improvements in safety and well delivery times. The rigs will have the capability for extended reach drilling (ERD) and the ability to walk between wells, eliminating the need for dismantling and movement. These features are expected to dramatically improve efficiency and safety while reducing costs and emissions significantly.
The total capital expenditure for the purchase of the new island rigs is estimated to be around $210 million, concentrated in 2025, with full-year revenue expected in 2027. Adnoc Drilling’s fleet is expected to reach at least 148 by 2026, including the three new island rigs and three previously announced land rigs. Since its IPO in the fourth quarter of 2021, Adnoc Drilling has invested over $2.2 billion to build one of the largest integrated drilling fleets globally.
The partnership with AIQ, an Abu Dhabi-based AI pioneer, will further enhance the adoption of artificial intelligence in the energy sector. With the innovative features of these next-generation rigs, Adnoc Drilling aims to set new benchmarks in efficiency, safety, and environmental sustainability. The collaboration between Adnoc Drilling and Honghua Group signifies a commitment to driving technological advancements and delivering value to stakeholders in the energy industry.
