The contract will enable ADES to generate additional revenue without incurring huge capital expenditures usually associated with deepwater drilling
ADES International Holding PLC (“ADES” or the “Company”), a leading oil & gas drilling and production services provider in the Middle East and North Africa (MENA), is pleased to announce that it has entered, through its subsidiary ADES S.A.E., into a second deepwater drilling campaign with a top tier international oil company, for deepwater drilling services in the Egyptian Mediterranean area. The service will be provided using Vantage’s Tungsten Explorer and covers one firm well, “Nigma 1”, with the contract estimated to last 73 days.
The services will be subcontracted to ADVantage, a JV between ADES and Vantage Drilling International, leveraging ADES’s pre-qualification for operations in the Mediterranean basin. ADVantage utilises ADES’s experienced local workforce and Vantage’s Tungsten Explorer drillship while combining the companies’ extensive deepwater drilling experience.
The contract will operate on a profit-sharing basis, enabling ADES to generate additional revenue without incurring the significant capital expenditures normally associated with deepwater drilling.
Dr. Mohamed Farouk, Chief Executive Officer of ADES International Holding, 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.”
Source: Company Press Release