Abu Dhabi National Oil Company has awarded two contracts worth more than $3.4 billion to its drilling unit to boost offshore production capacity. The contracts, valued at $1.5 billion and $1.9 billion respectively, were awarded to Adnoc Drilling by Adnoc Offshore, the state-owned oil company said in a statement.

As part of the contract, eight offshore jack-up rigs will be employed along with manpower and equipment to support drilling operations at Adnoc's offshore fields, which account for about half of the company's production capacity.

UAE accelerates oil and gas resource development

Adnoc Drilling is the largest national drilling company in the Middle East with 105 own drilling rigs, including 27 offshore jack-up rigs, making it one of the largest jack-up rig fleets in the world. During the 15-year contract period, Adnoc Drilling's drilling fleet will allow Adnoc and its strategic international partners to further unlock Abu Dhabi's offshore oil and gas resources, creating significant value for Adnoc, its partners and the UAE.

Dr Al Jaber said Adnoc Drilling's state-of-the-art fleet and market-leading capabilities will be key drivers as Adnoc cements its position as a leading low-cost and low-carbon energy producer. We are focused on delivering on our 2030 Strategy to support the directives of our wise leadership to grow and diversify the UAE economy. According to Adnoc's Domestic Value Plan, more than 80% of the value of the latest contracts will flow back to the UAE economy, helping to diversify the economy and encourage local economic growth.

Adnoc Drilling has also been awarded two contracts worth a combined $2 billion related to Adnoc's Hail and Ghasha developments. Adnoc has announced a second gas discovery in 2022 from the first exploration well of the Block2 exploration concession offshore Abu Dhabi operated by Eni. One trillion to 1.5 trillion standard cubic feet of pristine natural gas was discovered from a new, deeper reservoir, nearly double the volume of the discovered field. Keywords: engineering news, overseas news

Adnoc's board of directors in 2021 approved a plan to spend $126.88 billion between 2022 and 2026 to expand its upstream capacity and downstream product portfolio, as well as its low-carbon fuels business and clean energy ambitions.Editor/XingWentao