US contract oil and gas driller Helmerich & Payne (H&P) will invest $100 million in the initial public offering (IPO) of Abu Dhabi National Oil Company's drilling unit. Image Credit: Adnoc Group/ Instagram

Dubai: The Abu Dhabi National Oil Company subsidiary ADNOC Drilling has landed a major US investor for its IPO, with the contract drilling company Helmreich & Payne to invest Dh367 million in the stake offer. The Abu Dhabi firm will also acquire eight onshore drilling rigs from Helmreich & Bain for Dh318 million.

“We are confident that this partnership will allow ADNOC Drilling to continue its role in support of ADNOC's ambitious plans in increasing its production capacity,” said Dr. Sultan bin Ahmed Al Jaber, Minister of Industry and Advanced Technology, Managing Director and CEO of ADNOC. The move supports ADNOC's ongoing efforts to increase its production capacity to 5 million barrels per day by 2030, achieve gas self-sufficiency in the UAE, and develop gas resources in the country.

This step will contribute to ADNOC Drilling raising the efficiency of its operations through the acquisition of FlexRig drilling rigs. On September 6, ADNOC announced its intention to offer a 7.5 per cent minority stake in ADNOC Drilling and to list it on the Abu Dhabi Securities Exchange. “Our investment in ADNOC Drilling is a an important step in the implementation of our strategy for growth and expansion at the international level and investment outside the US,” said John Lindsay, President and CEO of Helmreich & Payne