ADNOC Drilling raises 9-month net profit 24% to $568m
For 9-month ’22, revenues at ADNOC entity come to $1.94b and net profit at $568m
Dubai: ADX-listed ADNOC Drilling’s net profit for the nine months of 2022 have gained 24 per cent to $568 million, while revenues are up 15 per cent to $1.94 billion. The company was boosted by a stream of project awards from the parent company in recent weeks, and resulted in net profit for the third quarter weighing in with $189 million.
Since listing on October 3 last year, ADNOC Drilling has issued a total dividend of $666.25 million.
“Our strong nine-month results were underpinned by the consistent execution of our strategic priorities as we continue to prove our value as a reliable and efficient operator and fast-growing drilling leader,” said Abdulrahman Abdullah Al Seiari, CEO. “Our accelerating rig fleet expansion program is a prime example. Supporting the UAE’s long-term production capacity targets, the program is already paying off as new rigs commence operations.
“A significant number of additional rigs are scheduled to come onstream in the fourth quarter, further boosting our financial and operating performance as we head towards 2023.”
The entity recently delivered a 50,000 feet extended reach well for ADNOC Offshore at the Zakum field, tapping into an undeveloped part of the reservoir. This well will bring out an additional production capacity of 15,000 barrels per day and ‘achieves this without the need for further costly infrastructure and with minimal environmental footprint’. It is also the world’s longest extended reach well.
"We have added more than $13 billion of contract backlog, achieved strong top- and bottom-line growth, and expanded our owned rig fleet from 95 to 108," said Al Seiari. "We are excited for the year ahead, and look forward to continued growth in 2023 and beyond."
At the nine month mark, year-on-year revenue growth was led by onshore services, with 'ADNOC Drilling positioned as a key enabler of ADNOC’s ambitious program to significantly boost production capacity'. The company’s oilfield services 'equally achieved very strong year-on-year gains'.
Operating margins too have improved through the ongoing fleet expansion program, with nine new rigs added so far this year.