ADES Holding Company (“ADES”, the “Group” or the “Company”), a world
leading international oil and gas drilling services provider, is pleased to announce that its jackup drilling unit “Admarine
501” has been awarded a contract with Nkuku Ikon Petroleum Development Company Limited for offshore drilling
operations in Nigeria. Following closely on the heels of the Admarine 504 award in Nigeria announced last month, this
new contract marks the final redeployment of ADES’ suspended rigs in Saudi Arabia, with the Group successfully
capitalizing on its strong global platform to secure attractive opportunities for all suspended assets within one year.
The new award also marks ADES’ second contract in Nigeria within one month, reflecting its determined focus on
expanding its footprint in the West Africa region and growing its presence in high-potential markets globally. Nigeria
has significant potential in the oil and gas sector and strong prospects for increased demand for drilling rigs in the coming
years, particularly in the offshore drilling segment. The country also plays a vital role in the Organization of Petroleum
Exporting Countries (OPEC) and has a strong influence on the energy landscape in Africa. As such, ADES will continue
to leverage on the increased tendering activity, and secure a long-term presence for the recently awarded rigs in Nigeria.
Key Highlights of the Award
• Contract Scope and Duration: The contract includes a firm scope to drill two wells plus an option for two
additional wells with a total estimated duration (firm + option) of 180 days. Operations are expected to
commence in the second quarter of 2025.
• Operating Structure: Similar to the previous award for Admarine 504, the new contract for Admarine 501 will
be jointly operated by ADES and an in-country partner under a charter structure.
• Backlog: The value of the charter contract between ADES and the in-country partner (Valiant) is estimated at
SAR 45 million (USD 12 million), which represents a percentage of the total contract value between Nkuku and
Valiant estimated at SAR 78.4 million (USD 21 million).
