Adnoc Drilling, the largest national drilling company in the Middle East by rig fleet size, is looking to expand into the GCC as drilling activity increases after a surge in crude oil prices, according to the company’s chief executive.
Rig activity in the GCC, which includes Bahrain, Kuwait, Qatar and Saudi Arabia, is a “huge” area in which Adnoc Drilling can “easily perform”, Abdulrahman Al Seiari told The National in an interview.
The Middle East’s rig count, an early indicator of oil and gas production, stood at 326 last month, up nearly 19 per cent from the same period a year earlier, according to energy services firm Baker Hughes.
The aim of any potential mergers and acquisition activity or stake purchases would be to expand into the Gulf region first, Mr Al Seiari said, adding that the company would take it “step by step”, given a large backlog of contracts in Abu Dhabi.
Adnoc Drilling, which is majority owned by Adnoc, was listed on the ADX in October last year and has rapidly expanded operations in recent months.
The company, which has this year secured contracts worth $8.85 billion, plans to acquire dozens of rigs by 2025 to support Adnoc's oil production capacity target of 5 million barrels per day by 2030.
Adnoc Drilling would focus more on onshore activity for the rest of this year and 2023, Mr Al Seiari said.
“There are some other projects which are being talked about, like unconventionals, which will materialise stronger,” he said.
In 2020, Abu Dhabi announced the discovery of substantial recoverable unconventional oil resources onshore, estimated at 22 billion barrels, and an increase in conventional oil reserves of 2 billion barrels.
Adnoc Drilling is also supporting the operations of several international oil companies who have won rights to drill for hydrocarbons in the UAE.
Last year, Adnoc awarded exploration rights for an offshore block to a Pakistani consortium for $304.7 million, marking the first deal with energy companies from the South Asian nation.
In 2020, the Abu Dhabi-based company awarded Occidental Petroleum onshore exploration rights in a Dh514 million ($140 million) contract.
“We are supporting them in the appraisal and exploration activities now, which is expected in the coming couple of years to go to the development phase,” said Mr Al Seiari.
Adnoc Drilling has provided integrated drilling services to Adnoc Onshore and Offshore since 2019. The company’s highly competitive position, integrated capabilities and technical expertise have helped to increase the efficiency of Adnoc’s drilling operations.
The company is in the early stages of discussion about a possible foray into the manufacturing of oil and gas equipment, according to Mr Al Seiari.
“It is something which we're talking about internally, about focusing on new streams,” he said.
“When we talk about the oil industry, there are a lot of products that I believe can be easily made in the UAE."
Oilfield drilling is a complex process involving multiple pieces of equipment to ensure proper extraction, cleaning and safety.
“In partnership with certain technology companies, we can do it in UAE … chemicals that we are extensively using can also be made here,” Mr Al Seiari said.
Oil and gas companies worldwide have benefited from a surge in crude prices since Russia invaded Ukraine. Brent, the benchmark for two-thirds of the world’s oil, has gained nearly 16 per cent in the past 12 months, despite concerns of an economic slowdown.
Benefits of first-time home buyers' scheme
- Priority access to new homes from participating developers
- Discounts on sales price of off-plan units
- Flexible payment plans from developers
- Mortgages with better interest rates, faster approval times and reduced fees
- DLD registration fee can be paid through banks or credit cards at zero interest rates
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- As per the document, there are six filing options, including choosing to report on a realisation basis and transitional rules for pre-tax period gains or losses.
- SMEs with revenue below Dh3 million per annum can opt for transitional relief until 2026, treating them as having no taxable income.
- Larger entities have specific provisions for asset and liability movements, business restructuring, and handling foreign permanent establishments.
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Gearbox: Seven-speed automatic
Power: 428hp @ 5,800rpm
Torque: 560Nm @ 3,600rpm
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Sole survivors
- Cecelia Crocker was on board Northwest Airlines Flight 255 in 1987 when it crashed in Detroit, killing 154 people, including her parents and brother. The plane had hit a light pole on take off
- George Lamson Jr, from Minnesota, was on a Galaxy Airlines flight that crashed in Reno in 1985, killing 68 people. His entire seat was launched out of the plane
- Bahia Bakari, then 12, survived when a Yemenia Airways flight crashed near the Comoros in 2009, killing 152. She was found clinging to wreckage after floating in the ocean for 13 hours.
- Jim Polehinke was the co-pilot and sole survivor of a 2006 Comair flight that crashed in Lexington, Kentucky, killing 49.
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Yahya Al Ghassani's bio
Date of birth: April 18, 1998
Playing position: Winger
Clubs: 2015-2017 – Al Ahli Dubai; March-June 2018 – Paris FC; August – Al Wahda
BULKWHIZ PROFILE
Date started: February 2017
Founders: Amira Rashad (CEO), Yusuf Saber (CTO), Mahmoud Sayedahmed (adviser), Reda Bouraoui (adviser)
Based: Dubai, UAE
Sector: E-commerce
Size: 50 employees
Funding: approximately $6m
Investors: Beco Capital, Enabling Future and Wain in the UAE; China's MSA Capital; 500 Startups; Faith Capital and Savour Ventures in Kuwait
Key facilities
- Olympic-size swimming pool with a split bulkhead for multi-use configurations, including water polo and 50m/25m training lanes
- Premier League-standard football pitch
- 400m Olympic running track
- NBA-spec basketball court with auditorium
- 600-seat auditorium
- Spaces for historical and cultural exploration
- An elevated football field that doubles as a helipad
- Specialist robotics and science laboratories
- AR and VR-enabled learning centres
- Disruption Lab and Research Centre for developing entrepreneurial skills
UAE currency: the story behind the money in your pockets
Ferrari 12Cilindri specs
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Engine: 1.5-litre, 4-cylinder turbo
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AT4 Ultimate, as tested
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Heavily-sugared soft drinks slip through the tax net
Some popular drinks with high levels of sugar and caffeine have slipped through the fizz drink tax loophole, as they are not carbonated or classed as an energy drink.
Arizona Iced Tea with lemon is one of those beverages, with one 240 millilitre serving offering up 23 grams of sugar - about six teaspoons.
A 680ml can of Arizona Iced Tea costs just Dh6.
Most sports drinks sold in supermarkets were found to contain, on average, five teaspoons of sugar in a 500ml bottle.
Global state-owned investor ranking by size
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The rules of the road keeping cyclists safe
Cyclists must wear a helmet, arm and knee pads
Have a white front-light and a back red-light on their bike
They must place a number plate with reflective light to the back of the bike to alert road-users
Avoid carrying weights that could cause the bike to lose balance
They must cycle on designated lanes and areas and ride safe on pavements to avoid bumping into pedestrians
Company profile
Name: Steppi
Founders: Joe Franklin and Milos Savic
Launched: February 2020
Size: 10,000 users by the end of July and a goal of 200,000 users by the end of the year
Employees: Five
Based: Jumeirah Lakes Towers, Dubai
Financing stage: Two seed rounds – the first sourced from angel investors and the founders' personal savings
Second round raised Dh720,000 from silent investors in June this year
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%3Cp%3EThe%20influx%20of%20talented%20young%20Afghan%20players%20to%20UAE%20cricket%20could%20have%20a%20big%20impact%20on%20the%20fortunes%20of%20both%20countries.%20Here%20are%20three%20Emirates-based%20players%20to%20watch%20out%20for.%0D%3Cbr%3E%20%0D%3Cbr%3E%3Cstrong%3EHassan%20Khan%20Eisakhil%3C%2Fstrong%3E%0D%3Cbr%3EMohammed%20Nabi%20is%20still%20proving%20his%20worth%20at%20the%20top%20level%20but%20there%20is%20another%20reason%20he%20is%20raging%20against%20the%20idea%20of%20retirement.%20If%20the%20allrounder%20hangs%20on%20a%20little%20bit%20longer%2C%20he%20might%20be%20able%20to%20play%20in%20the%20same%20team%20as%20his%20son%2C%20Hassan%20Khan.%20The%20family%20live%20in%20Ajman%20and%20train%20in%20Sharjah.%0D%3Cbr%3E%20%0D%3Cbr%3E%3Cstrong%3EMasood%20Gurbaz%3C%2Fstrong%3E%0D%3Cbr%3EThe%20opening%20batter%2C%20who%20trains%20at%20Sharjah%20Cricket%20Academy%2C%20is%20another%20player%20who%20is%20a%20part%20of%20a%20famous%20family.%20His%20brother%2C%20Rahmanullah%2C%20was%20an%20IPL%20winner%20with%20Kolkata%20Knight%20Riders%2C%20and%20opens%20the%20batting%20with%20distinction%20for%20Afghanistan.%0D%3Cbr%3E%20%0D%3Cbr%3E%3Cstrong%3EOmid%20Rahman%3C%2Fstrong%3E%0D%3Cbr%3EThe%20fast%20bowler%20became%20a%20pioneer%20earlier%20this%20year%20when%20he%20became%20the%20first%20Afghan%20to%20represent%20the%20UAE.%20He%20showed%20great%20promise%20in%20doing%20so%2C%20too%2C%20playing%20a%20key%20role%20in%20the%20senior%20team%E2%80%99s%20qualification%20for%20the%20Asia%20Cup%20in%20Muscat%20recently.%0D%3Cbr%3E%3C%2Fp%3E%0A
