ADNOC Drilling Launches Turnwell Joint Venture To Accelerate $1.7 Billion Unconventional Oil Campaign

ADNOC Drilling Company PJSC has announced the formation of a joint venture named Turnwell with SLB and Patterson-UTI. This collaboration aims to accelerate the development of 144 unconventional oil and gas wells in the UAE. The initiative follows the successful completion of initial wells, showcasing efficiency and effectiveness in operations.

The Turnwell joint venture is designed to tap into the UAE's unconventional energy resources. ADNOC Drilling, through its subsidiary ADH RSC LTD, holds a 55% majority stake in this venture. SLB owns 30%, while Patterson-UTI holds the remaining 15%. This partnership will manage a $1.7 billion contract for drilling services.

Turnwell's establishment marks a significant step for ADNOC Drilling as it becomes the unconventionals drilling arm of the company. The contract involves delivering 144 unconventional oil and gas wells. The project's success has led to an accelerated timeline, which is expected to positively impact ADNOC Drilling’s earnings by 2025.

To meet the new timeline, Turnwell has implemented batch drilling techniques. This method enhances efficiency and reduces costs significantly. Gordon Technologies, known for its Measurement While Drilling (MWD) technology, will assist in this process. MWD technology helps reduce drilling time and improves well-bore quality.

Abdulrahman Abdulla Al Seiari, CEO of ADNOC Drilling, expressed enthusiasm about the venture's progress: "Today marks a defining moment for Turnwell and our key partners SLB, and Patterson-UTI. The acceleration of the well programme is a testament to the innovation, collaboration, and pursuit of excellence that will define our joint venture."

Strategic Partnerships and Technological Advancements

Enersol companies play a crucial role in this campaign. Enersol is an investment joint venture between ADNOC Drilling and Alpha Dhabi Holdings. It acquired a 67.2% stake in Gordon Technologies, highlighting its commitment to technological advancement in drilling operations.

The use of Enersol’s technology by Turnwell showcases opportunities for growth in the Middle East market while maintaining strength in traditional markets. This strategic move not only enhances operational capabilities but also positions Enersol as a key player in energy technology.

The acceleration of this well programme signifies a pivotal moment for Turnwell and its partners. By leveraging innovative technologies and strategic partnerships, they aim to unlock significant potential within the UAE's unconventional energy sector while setting new industry standards globally.

With inputs from WAM