Arab News, Tue, May 07, 2024 | Shawwal 28, 1445
Saudi Arabia’s Ades secures $136.2m deals in Qatar, Egypt
Saudi Arabia,
Qatar:
Saudi Arabia’s Ades Holding Co. continues to expand its regional footprint as it
seals two contracts worth SR511 million ($136.2 million), highlighting its
growing influence in the oil and gas sector.
Ades, which specializes in providing drilling and
intervention services, signed a contract valued at up to SR350 million with
Total Energies to operate an offshore drilling platform in Qatar.
The agreement includes a mandatory one-year period
with an option to extend it for up to an additional 18 months, according to a
bourse filing.
Operations are slated to begin in the second half
of 2024. The company emphasized that there are no related parties involved in
this contract.
This contract comes on the heels of April’s
announcement, where Ades was awarded the responsibility to operate another
offshore drilling platform by Total Energies in Qatar.
This previous contract enables Ades to maintain
its market presence robustly, as it will now operate three drilling platforms in
the region.
This expansion comes after the company’s strategic
move to transfer its Emerald Driller platform to Indonesia.
Moreover, Ades announced in a separate release
that it was awarded a 21-month contract to operate an elevated platform in the
Gulf of Suez.
The company received a direct award letter from
the Suez Oil Co, also known as SUCO, in Egypt, with operations expected to
commence in the coming weeks.
In a statement on Tadawul, the company disclosed
that the contract is valued at SR161 million.
This new engagement in Egypt is part of Ades’s
broader strategy to reactivate its operations regionally. It follows recent
contracts in Thailand and Qatar, bringing the total number of reactivated
platforms to three out of the five that were recently suspended in Saudi
Arabia.
The publicly traded company saw a slight decrease
in its stock price after its announcements.