ADNOC awards $1.94 billion framework agreements to enable drilling growth

The Abu Dhabi National Oil Company (ADNOC) on Thursday announced framework agreement awards valued at $1.94 billion to enable drilling growth.

The awards build on ADNOC’s recent record investments in drilling-related equipment and support its strategy to boost crude oil production capacity to 5 million barrels per day (mmbpd) by 2030, along with driving gas self-sufficiency for the UAE, the company said in a statement.

“The framework agreements announced today are a continuation of ADNOC’s unprecedented investment in services to enable the expansion of drilling activity required to responsibly unlock the UAE’s leading low-cost and low-carbon intensity oil as well as the nation’s gas resources,” Dr. Sultan Ahmed Al Jaber, Minister of Industry and Advanced Technology and ADNOC Managing Director and Group CEO, said in a statement.

“Not only do these awards support our 2030 strategy, they are expected to deliver over 80 percent of In-Country Value to the UAE and align with the UAE’s ‘Principles of the 50’ economic blueprint for sustainable growth,” Dr Sultan said.

The framework agreements for wireline logging and perforation services are the largest of such awards in the oil and gas industry and were awarded to ADNOC Drilling Company, Schlumberger Middle East, Haliburton Worldwide Limited Abu Dhabi and Weatherford Bin Hamoodah, following a competitive tender process.

Wireline logging involves continuously measuring the properties of rock formations to guide drilling operations while perforation creates tunnels in the wellbore to allow fluid to flow in from the reservoir.