Ten-year renewal for ADES rig marks jack-up’s return to drilling work with Aramco

April 8, 2025, by Melisa Cavcic

ADES Holding Company, part of Saudi Arabia-headquartered ADES Group, has tucked a multi-year contract renewal in the Kingdom of Saudi Arabia (KSA) under its belt, which enables one of its previously suspended jack-ups to once again work for Aramco, a Saudi energy giant.

ADES has inked a contract renewal for a firm duration of ten years for one of its standard offshore jack-up rigs, which was among the six suspended rigs previously operating for Aramco in Saudi Arabia. This deal, estimated at SAR 1,088 million ($290 million), is said to add significant long-term revenue visibility and backlog sustainability.

Dr. Mohamed Farouk, CEO of ADES Holding, commented: “We are very pleased to have secured this renewal for our unit in KSA, particularly as it was among the six previously suspended rigs in the Kingdom. The renewal is a testament to our strong and long-standing relationship with our valued KSA client and it is also thanks to ADES’ exemplary safety and operational track record.

“This 10-year renewal, and similar ones recently secured in the Kingdom, added a significant amount of long-term backlog to the Group, promoting business sustainability and increased revenue visibility.”

While the jack-up is currently fulfilling a medium-term contract in Egypt, the renewal in Saudi Arabia is seen by ADES as a testimony to its strong and long-standing relationship with the Saudi giant and further strengthens the rig owner’s outlook concerning its business in the KSA.

Farouk highlighted: “The new award validates the Group’s optimism as regards to the outlook of our business in the Kingdom, and we look forward to continue delivering our best-in-class safety and operational performance that has become synonymous with the ADES name.”

“The Group also plans to continue focusing on securing further renewals and backlog additions in our key markets to boost long term revenue visibility, and to capitalize on the prevailing tightness in the global offshore jack-up market.”

After an uptick in its redeployment level of the recently suspended rigs in Saudi Arabia to three out of five jack-ups, thanks to drilling campaigns in Qatar, Thailand, and Egypt, ADES confirmed its fourth redeployment, which was secured via a letter of award (LOA) in Thailand.

The rig owner increased its global footprint at the start of 2025 by adding a new country entry to its assignment location list with an offshore drilling job off the coast of Nigeria, which represents the firm’s entrance into West Africa.