عربي English Türkçe اردو فارسى
Logo
Latest News
Business

ADNOC Invests Over $750m in Developing Artificial Islands in Abu Dhabi

ADNOC’s investment in drilling wells falls under its pursuit to support its production capacity expansion to 5 million barrels per day (mmbpd) by 2030. Asharq Al-Awsat Arabic
ADNOC’s investment in drilling wells falls under its pursuit to support its production capacity expansion to 5 million barrels per day (mmbpd) by 2030. Asharq Al-Awsat Arabic
TT
TT

ADNOC Invests Over $750m in Developing Artificial Islands in Abu Dhabi

ADNOC’s investment in drilling wells falls under its pursuit to support its production capacity expansion to 5 million barrels per day (mmbpd) by 2030. Asharq Al-Awsat Arabic
ADNOC’s investment in drilling wells falls under its pursuit to support its production capacity expansion to 5 million barrels per day (mmbpd) by 2030. Asharq Al-Awsat Arabic

Abu Dhabi National Oil Company (ADNOC) announced an investment of $763.7 million (AED2.8 billion) in integrated rigless services across six of its artificial islands in the Upper Zakum and Satah Al Razboot (SARB) fields to support its production capacity expansion to 5 million barrels per day (mmbpd) by 2030.

The investment is in the form of three contracts awarded by ADNOC Offshore to Schlumberger, ADNOC Drilling, and Halliburton after a competitive tender process.

Schlumberger’s share of the award is valued at $381.18 million (AED1.4 billion); ADNOC Drilling’s share is valued at $228.71 million (AED839.58 million), and Halliburton’s share is valued at $153.87 million (AED564.85 million).

Over 80 percent of the total award value will flow back into the UAE’s economy under ADNOC’s In-Country Value (ICV) program over the 5-year duration of the contracts.

ADNOC Upstream Executive Director Yaser Saeed Almazrouei said: “These important awards for integrated rigless services will drive efficiencies of drilling and related services and optimize costs in our Offshore operations as we ramp up our drilling activities to increase our production capacity and enable gas self-sufficiency for the UAE.”

The scope of the contracts includes coiled tubing services with thru-tubing downhole tools, stimulation services, including equipment and chemicals/fluid systems, surface well testing services, wireline, and production logging services and tools, saturation monitoring, and well integrity.

CEO of ADNOC Offshore Ahmad Saqer Al-Suwaidi said: “These contracts are an important contributor to ADNOC Offshore’s plans to build our production capacity to over 2 million barrels a day in the coming years to support the ADNOC Group’s smart growth strategy.

The award follows a highly competitive bid process, which included a rigorous assessment of how much of the contract value would support the growth and diversification of the UAE’s economy through ADNOC’s In-Country Value Program.”

ADNOC Drilling’s transformation into a fully integrated drilling services provider followed the award to Baker Hughes of a 5 percent share in the company, which is now capable of delivering start-to-finish drilling and well-construction services onshore and offshore with proven efficiency gains.

As of May 2021, ADNOC Drilling has delivered over 180 IDS wells since 2018, achieving an efficiency improvement of close to 50 percent, which resulted in over $210 million (AED767 million) savings.

Most Viewed

 
 
Business

Japan, South Korea Say Ready to Act Against FX Volatility

FILE PHOTO: Japan's Finance Minister Satsuki Katayama speaks on the day Japan's Prime Minister Sanae Takaichi delivers her policy speech in the parliament, in Tokyo, Japan, February 20, 2026. REUTERS/Kim Kyung-Hoon/File Photo
FILE PHOTO: Japan's Finance Minister Satsuki Katayama speaks on the day Japan's Prime Minister Sanae Takaichi delivers her policy speech in the parliament, in Tokyo, Japan, February 20, 2026. REUTERS/Kim Kyung-Hoon/File Photo
TT
TT

Japan, South Korea Say Ready to Act Against FX Volatility

FILE PHOTO: Japan's Finance Minister Satsuki Katayama speaks on the day Japan's Prime Minister Sanae Takaichi delivers her policy speech in the parliament, in Tokyo, Japan, February 20, 2026. REUTERS/Kim Kyung-Hoon/File Photo
FILE PHOTO: Japan's Finance Minister Satsuki Katayama speaks on the day Japan's Prime Minister Sanae Takaichi delivers her policy speech in the parliament, in Tokyo, Japan, February 20, 2026. REUTERS/Kim Kyung-Hoon/File Photo

Japan and South Korea expressed concern on Saturday about the rapid declines in their currencies, saying they were ready to act against excessive foreign-exchange volatility.

Finance Ministers Satsuki Katayama of Japan and Koo Yun-cheol of South Korea "expressed serious concern over the recent sharp depreciation of the Korean won and the Japanese yen," they said in a statement after their annual meeting in Tokyo.

The yen and won have slid as mounting tensions from the US-Israeli war on Iran have driven the dollar higher ⁠on safe-haven demand and ⁠battered the currencies of countries heavily reliant on imported oil.

"Furthermore, they reaffirmed that they will closely monitor foreign exchange markets and continue to take appropriate actions against excessive volatility and disorderly movements in exchange rates," the statement said.

The yen touched its lowest in 20 ⁠months on Friday and is near the line of 160.00 to the dollar that many in the market think might prompt Japan to intervene to support the currency. The won breached a psychological barrier of 1,500 per dollar this month for the first time since March 2009.

Tokyo and Seoul shared the view that significant volatility had emerged in financial markets, including foreign exchange, Katayama told a press conference after the meeting.

"The Japanese government ⁠is ⁠fully prepared to respond at any time, bearing in mind the impact that currency moves may have on people's livelihoods amid surging oil prices, and I believe both sides share that understanding," she said.

Katayama regularly says Japan is ready to act regarding yen moves, although some policymakers privately say that intervening to prop up the yen now could prove futile, as the flood of dollar demand will only intensify if the war persists.

Business

BP Wins US Approval for Kaskida Project in Gulf of Mexico

FILE PHOTO: 3D-printed oil pump jacks and the British Petroleum (BP) logo appear in this illustration taken March 2, 2026. REUTERS/Dado Ruvic/Illustration/File Photo
FILE PHOTO: 3D-printed oil pump jacks and the British Petroleum (BP) logo appear in this illustration taken March 2, 2026. REUTERS/Dado Ruvic/Illustration/File Photo
TT
TT

BP Wins US Approval for Kaskida Project in Gulf of Mexico

FILE PHOTO: 3D-printed oil pump jacks and the British Petroleum (BP) logo appear in this illustration taken March 2, 2026. REUTERS/Dado Ruvic/Illustration/File Photo
FILE PHOTO: 3D-printed oil pump jacks and the British Petroleum (BP) logo appear in this illustration taken March 2, 2026. REUTERS/Dado Ruvic/Illustration/File Photo

British energy major BP has received approval from the Trump administration to advance its Kaskida project in the Gulf of Mexico, a company spokesperson told Reuters in an emailed statement late ⁠on Friday.

The $5 billion ⁠investment would unlock 10 billion barrels of resources that BP has discovered in the Paleogene fields of the US Gulf, the spokesperson said.

The US Department of ⁠the Interior's approval of Kaskida follows a year-long review of the company's development plan, the statement said, according to Reuters.

Bloomberg News first reported on Friday that the Kaskida project is scheduled to start crude production in 2029. The Kaskida project will follow BP’s 2023 start-up of the Argos project, which ⁠was ⁠its first platform launch in the US. Gulf since 2008 and the first since the Deepwater Horizon disaster.

The explosion of BP's Deepwater Horizon rig in April 2010 killed 11 rig workers and caused $70 billion in damages in the largest oil spill in US history.

Business

S&P: Saudi Arabia’s Robust Economy Guarantees its Ability to Withstand Regional Conflict

King Abdullah Financial District in Riyadh (Asharq Al-Awsat)
King Abdullah Financial District in Riyadh (Asharq Al-Awsat)
TT
TT

S&P: Saudi Arabia’s Robust Economy Guarantees its Ability to Withstand Regional Conflict

King Abdullah Financial District in Riyadh (Asharq Al-Awsat)
King Abdullah Financial District in Riyadh (Asharq Al-Awsat)

Credit ratings agency S&P Global affirmed Saudi Arabia’s sovereign credit rating at “A+/A-1,” with a “stable outlook” on Friday.

The agency said that the Kingdom was well-positioned to withstand the ongoing conflict in the Middle East.

S&P stated in a press release that “the outlook reflects the Kingdom’s ability to redirect oil exports to the Red Sea port via the East-West oil pipeline, utilize its large oil storage capacity, and its ability to increase oil production post-conflict.”

It noted that “the outlook also reflects our view that non-oil growth momentum and associated non-oil revenues, as well as the government’s ability to calibrate investment expenditure tied to Vision 2030, should support the economy and fiscal trajectory.”

S&P forecast real GDP growth of 4.4% for 2026, saying real GDP growth will average 3.3% per year for 2027-2028.

It said the government diversifying away from oil, economic volatility is starting to decrease--albeit sensitivity to oil remains. “The non-oil sector (including government activities) now accounts for about 70% of GDP, up from 65% in 2018. This structural shift is a key objective of Vision 2030,” the agency noted.

It added that “Saudi Arabia’s substantial asset position should remain a key strength over our forecast period even as gross debt rises.”

The ratings agency noted that before the conflict, the government in Riyadh had already been looking at adjusting spending on diversification projects tied to Vision 2030 to manage plans more in line with available resources.

Saudi Arabia's Vision 2030, the Kingdom's “long-term transformation” plan, has a fiscal policy that is expansive to encourage economic diversification. This has been done despite oil price volatility which has put pressure on public finances.

The agency said: “We expect the authorities will continue to adopt a prudent and flexible approach in this regard, having stressed a commitment to achieving Vision 2030 goals without jeopardizing public finances.”

The US and Israeli war on Iran is causing the Strait of Hormuz to be close to shutting down, forcing regional producers to reduce oil output.