ADNOC Drilling Company PJSC and Helmerich & Payne sign framework agreement that is going to advance ADNOC’s Drilling’s land rig operational performance and support its ambitious growth and expansion plans, according to media reports. The agreement also focuses on improving drilling efficiencies and unlocking operational savings, and the framework agreement also builds on the Asset Purchase Agreement and IPO Cornerstone Agreement that was announced earlier this year in September, which is further strengthened by the strategic alliance between ADNOC and Drilling and H&P.
Abdulrahman Abdullah Al Seiari, CEO of ADNOC Drilling, told the media, “The Rig Enablement Framework Agreement announced today is a natural evolution of both our strategic alliance with H&P and ADNOC Drilling’s growth trajectory. By sharing global best practices and further optimizing our world-class rig fleet, this agreement turbocharges ADNOC Drilling’s significant competitive advantage, enabling us to further capitalize on and cement our leading position as the largest national drilling company in the Middle East and the only national drilling company that offers start-to-finish good services. The resulting efficiency gains will deliver enhanced operational excellence, in turn delivering even greater value to our shareholders.”
ADNOC Drilling’s recent IPO was the largest-ever listing on ADX where it raised over $1.1 billion, which is a significant milestone in the value creation strategy by ADNOC. Due to substantial demand, ADNOC’s IPO was oversubscribed more than 31 times, and it further highlighted the confidence in the company’s growth trajectory. As a Cornerstone Investor, H&P committed $100 million and a three-year lock period.