Proactive Investors - Run By Investors For Investors

ADES International Holding secures two onshore drilling contracts in the Kingdom of Saudi Arabia

The provider of oil & gas drilling and production services in the Middle East and North Africa said each of the secured contracts has a tenure of seven years - five years fixed and two years optional
Drill rig
ADES added that it will order two new-build onshore rigs that meet the contract specifications for a total cost of up to US$ 45mln

ADES International Holding PLC (LON:ADES) has secured two onshore drilling contracts in the Kingdom of Saudi Arabia, following a competitive tender process, that will add a total estimated order backlog of around US$150mln.

The leading oil & gas drilling and production services provider in the Middle East and North Africa said each of the secured contracts has a tenure of seven years - five years fixed and two years optional -  with operations due to commence in the second half of 2019.

READ: ADES International launches integration project for recent acquisitions

The group added that it will order two new-build onshore rigs that meet the contract specifications for a total cost of up to US$ 45mln.

The company said it sees long-term potential for these assets in the Saudi market.

Dr. Mohamed Farouk, ADES International’s chief executive officer, commented: "ADES' reputation for operational excellence and its exemplary safety record allow it to bid for and win competitive tenders across the region.

“We have leveraged this strength to build a substantial presence in Saudi Arabia's onshore and offshore markets with long term, secure contracts.”

He added: “Organic growth is in line with our strategy post the recent acquisitions and we expect to generate a strong return on this investment whilst delivering excellent customer service and value for money for our client."

View full ADES profile View Profile

ADES International Holding PLC Timeline

Related Articles

oil rig
May 03 2019
The order backlog at the end of February totalled US$1.5bn

© Proactive Investors 2019

Proactive Investors Limited, trading as “Proactiveinvestors United Kingdom”, is Authorised and regulated by the Financial Conduct Authority.
Registered in England with Company Registration number 05639690. Group VAT registration number 872070825 FCA Registration number 559082. You can contact us here.

Market Indices, Commodities and Regulatory News Headlines copyright © Morningstar. Data delayed 15 minutes unless otherwise indicated. Terms of use