ADNOC Drilling Company PJSC (\u201cADNOC Drilling\u201d or \u201cthe Company\u201d) (ADX symbol: ADNOCDRILL \/ ISIN: AEA007301012) has been awarded, by ADNOC, a $1.7 billion contract to provide drilling and associated services for the recovery of unconventional energy resources. The contract will see Turnwell deliver 144 unconventional oil and gas wells.<\/p>\n
To service the contract, and explore the considerable future opportunities in unconventional\u00a0 resources, ADNOC Drilling has incorporated a new company, Turnwell Industries LLC OPC\u00a0 (\u201cTurnwell\u201d). ADNOC Drilling has signed a term sheet to enter into a strategic partnership with Schlumberger Middle East SA (\u201cSLB\u201d) and Patterson-UTI International Holdings, Inc. (\u201cPatterson-UTI\u201d) subject to signing definitive agreements and any necessary regulatory\u00a0 approvals. The new company will be primarily engaged in unconventional drilling operations.<\/span><\/p>\n Abdulmunim Saif Al Kindy, ADNOC Upstream Executive Director and Vice Chairman of\u00a0 ADNOC Drilling, <\/b>said:\u201d Our goal at ADNOC is to provide the energy and energy products that people depend on every day to power their lives and ensure a just, orderly and equitable energy transition. This award will accelerate the development of Abu Dhabi\u2019s world-class resources to meet the world\u2019s growing demand for affordable, accessible energy. ADNOC\u00a0 Drilling is perfectly placed to responsibly develop these resources. Utilizing partnerships,\u00a0<\/span>innovative AI, digitalization and advanced technologies we will unlock Abu Dhabi\u2019s abundant\u00a0 energy resources, to drive value for the UAE.\u201d<\/span><\/p>\n Commenting on the announcement, <\/span>Abdulrahman Abdulla Al Seiari, Chief Executive\u00a0 Officer, ADNOC Drilling, <\/b>said: \u201cAbu Dhabi\u2019s unconventional energy resources are among the\u00a0 world\u2019s largest. This award, for 144 wells is just the beginning. It represents a transformational opportunity for ADNOC Drilling as the UAE\u2019s world class unconventional energy resources will\u00a0 require many thousands more wells and we are in a prime position to deliver them.\u00a0<\/span><\/p>\n \u2018\u2019It represents a significant expansion of our operations and specialist capabilities and to help\u00a0 us with that, we have set up a new company called Turnwell, and have signed a term sheet with SLB and Patterson-UTI, for potential partnership and support with the latest technology,\u00a0 specialist services and innovations in the unconventional energy drilling space subject to\u00a0 signing definitive agreements and any necessary regulatory approvals.\u201d\u00a0<\/span><\/p>\n Spearheading unconventional energy drilling development within the Middle East region and\u00a0 securing the UAE\u2019s unconventional energy needs and resources, ADNOC Drilling will leverage\u00a0 cutting-edge innovations in AI smart drilling design, completions engineering, and production\u00a0 solutions. This will be enabled by ADNOC Drilling\u2019s recent joint venture with Alpha Dhabi,\u00a0 Enersol, which will see its scalable technology ecosystem bolstered through investments in \u2013 and acquisitions of \u2013 AI-enabled solutions and innovative technologies.\u00a0\u00a0<\/span><\/p>\n This award marks our latest endeavour to support the UAE\u2019s position as a trusted and reliable\u00a0 energy provider and is a key step towards ensuring the nation\u2019s gas growth ambitions. The\u00a0 award solidifies ADNOC Drilling\u2019s leadership in the regional market while also providing a\u00a0 strong new revenue stream for the Company.\u201d\u00a0<\/span><\/p>\n This initial phase of unconventionals development is expected to employ up to nine land rigs,\u00a0 of which five are already included in ADNOC Drilling\u2019s fleet as of 31 December 2023. The\u00a0 contract is expected to start contributing to ADNOC Drilling\u2019s revenue towards the second half\u00a0 of this year. The Company\u2019s full-year 2024 and mid-term guidance only captures this initial\u00a0 award, creating significant potential upside to our business and financials in the mid to long\u00a0<\/span>term.\u00a0<\/span><\/p>\n Unconventional energy refers to oil and gas resources trapped in subsurface reservoirs requiring additional technology and processes to unlock them. Abu Dhabi today holds an\u00a0 estimated 220 billion barrels of unconventional oil and 460 TCF of unconventional gas in place.\u00a0 The opportunity in unconventional energy presents outstanding scale with the production\u00a0 potential comparable to some of the most plentiful unconventional energy resources in the\u00a0 U.S.\u00a0<\/span><\/p>\n SLB (NYSE: SLB) is a global technology company that drives innovation for a balanced planet.\u00a0 It has extensive experience and expertise in the recovery of unconventional oil and gas\u00a0 resources in the Middle East and around the world.\u00a0<\/span><\/p>\n Patterson-UTI is one of the leading oilfield services companies in North America and has been\u00a0 heavily involved in the development of the United States unconventional energy resources.\u00a0 The company comprises an impressive collective of top-tier talent, equipment, and\u00a0 technology.\u00a0<\/span><\/p>\n","protected":false},"excerpt":{"rendered":" ADNOC Drilling Company PJSC (\u201cADNOC Drilling\u201d or \u201cthe Company\u201d) (ADX symbol: ADNOCDRILL \/ ISIN: AEA007301012) has been awarded, by ADNOC, a $1.7 billion contract to provide drilling and associated services for the recovery of unconventional energy resources. The contract will see Turnwell deliver 144 unconventional oil and gas wells. To service the contract, and explore […]<\/p>\n","protected":false},"author":5,"featured_media":3550,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"tdm_status":"","tdm_grid_status":"","footnotes":""},"categories":[91,39,59,130,43,87,111,15,31,27,3716],"tags":[],"class_list":["post-3549","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-arab-countries-en","category-business-economy-en","category-energy-en","category-featured-en","category-finance-investment-en","category-gcc-en","category-mou-partnerships-en","category-press-releases","category-startups","category-technology","category-uae"],"yoast_head":"\n