ADNOC Drilling secures $2bln offshore jack-up contracts

ADNOC Drilling secures $2bln offshore jack-up contracts

Substantial revenue expected in 2024 with first full year revenue contribution from 2025 Contracts provide accretive day rates while maintaining long-term cash flow and earnings visibility Abu Dhabi, UAE – ADNOC Drilling Company PJSC (“ADNOC Drilling” or “the Company”) (ADX symbol: ADNOCDRILL / ISIN: AEA007301012) today confirmed the award of five 10-year contracts, totaling approximately $2 billion, in support of ADNOC Offshore’s growing drilling operations. The contractual conditions, particularly the duration, were agreed with the client in light of the strength of the offshore jack-up market with higher day rates. The contracts supporting drilling operations across five fields in ADNOC’s offshore portfolio, are for the charter of five high-specification, premium jack-up rigs along with all required manpower and equipment. The rigs will commence activity progressively from the end of 2023, with significant revenue expected in 2024 and first full-year revenue contribution from 2025. The revenue associated to these contracts is included in the Company’s full year 2023 and medium-term guidance. Abdulrahman Abdulla Al Seiari, Chief Executive Officer of ADNOC Drilling, commented: “We are pleased to have been awarded these important contracts. Long-term contracts like these are the backbone of our business model, providing clear line of sight on future earnings.