UAE-based ADES International has secured two onshore deep drilling contracts from oil field services company Baker Hughes under a lump sum turnkey project (LSTK) in Kuwait.
The contracts bagged for rigs ADES 180 and ADES 878 come with an initial two-year term, with an option to extend for an additional six months.
The contracts are expected to begin in the second quarter of next year upon expiry of present contracts, with similar daily rates to the company’s existing fleet in Kuwait.
ADES International CEO Mohamed Farouk said: “We are extremely pleased to secure our first onshore deep drilling LSTK contract with Baker Hughes.
“This represents a major step towards our strategic objectives and underpins ADES’s ability to deliver drilling services under a LSTK contracting model.
“In addition, it further supports our expansion into the high potential market of Kuwait following the Weatherford acquisition and offers greater backlog visibility.”
Other recent contracts awarded to ADES International
In October, ADES International, through its subsidiary ADES S.A.E., had entered into an agreement to work on a second deepwater drilling campaign in Egypt.
The UAE-based company had said that it would provide the work using Vantage Drilling’s Tungsten Explorer.
The contract covers one firm well, Nigma 1, which was projected to run for 73 days.
The services were planned to be subcontracted ADVantage, a joint venture between ADES and Vantage Drilling International.
Mohamed Farouk had then said: “We are extremely pleased to have secured a second deepwater drilling campaign with our top tier client in the Mediterranean, where we will build on our track record of consistently delivering high-quality service to our clients.
“This project is fully consistent with our focus on the region. With a string of major gas discoveries propelling demand for oil and gas services and prospective drilling programs, lucrative commercial opportunities continue to attract attention.
“ADES is on the right track, as we fully leverage our valuable partnership with Vantage and its high-quality asset in Egypt’s ultra-deepwater market.”
