ADNOC Drilling Prepared to Expand UAE Oil Capacity Beyond 5 Million Bpd

Abu Dhabi-listed ADNOC Drilling is prepared to boost the United Arab Emirates' crude oil production capacity beyond its target of 5 million barrels per day if requested by parent company Abu Dhabi National Oil Company (ADNOC), Chief Financial Officer Youssef Salem told Reuters. Salem stated that the company is equipped to meet any level of production capacity required by ADNOC.

Salem highlighted that ADNOC Drilling relies on multiple rig providers from China and other international markets, alongside technology partnerships with firms including Baker Hughes, SLB, and Patterson-UTI. The company had already deployed 142 rigs by 2025, surpassing its previous operational target of 127 rigs originally scheduled for 2030.

ADNOC Drilling reported that its operational capacity has remained unaffected by recent Gulf shipping disruptions, maintaining a 98% rig availability rate throughout the quarter. To manage supply continuity and avoid risks linked to the Strait of Hormuz, the company utilizes overland transit routes, facilities at the port of Fujairah, and maintains an inventory buffer covering two to three months.

In addition to conventional drilling, Salem noted that ADNOC Drilling has nearly completed 100 first-phase wells for unconventional resource projects and conducted hydraulic fracturing on more than 60 wells. Well deliveries during the first quarter also increased compared to the previous year.