ADNOC to spend up to $6 bil on drilling equipment to support oil, gas expansion

Abu Dhabi National Oil Co. announced Nov. 16 that it will acquire up to $6 billion of drilling equipment as it targets a 25% boost in crude oil production capacity to 5 million b/d by 2030.

The drilling investments, which will also help the UAE's gas self-sufficiency goal, are in the from of procurement awards for wellheads and related components, downhole completion equipment (DCE) and related services, liner hangers and cementing accessories, ADNOC said.

"ADNOC's world record investments in drilling-related equipment underlines our commitment to responsibly unlocking our world-scale hydrocarbon resources and expanding our production capacity to continue providing the world with some of the least carbon-intensive barrels for decades to come," ADNOC CEO Sultan al-Jaber said in a statement.

Some of the award winners are Schlumberger Middle East and Weatherford Bin Hamoodah Co.

The announcement comes after ADNOC launched in October an initial public offering of shares in its ADNOC Drilling subsidiary, raising $1.1 billion.

ADNOC as a whole is spending $122 billion up to 2025 on growth targeted projects, including the ramp-up in oil production capacity to 5 million b/d by 2030 from around 4 million b/d.