The drilling arm of Abu Dhabi National Oil Co. (ADNOC) has secured a substantial contract worth up to $800mn from the parent firm’s offshore subsidiary, further cementing its rapid diversification from a simple rig operator into a fully integrated energy services provider.

The five-year agreement, announced on June 30, will see ADNOC Drilling provide high-tech hydraulic fracturing services for ADNOC Onshore, which manages the emirate’s conventional and tight oil and gas fields. The deal, commencing in the third quarter of 2025, is the latest in a string of awards underscoring Abu Dhabi’s aggressive strategy to boost its production capacity.

Abdulla Ateya Al Messabi, who was recently appointed CEO of ADNOC Drilling, framed the deal as a vote of confidence in the company’s strategic shift. “This significant contract is a powerful endorsement of ADNOC Drilling’s expanding capabilities and our trusted partnership with ADNOC Onshore,” he commented. “It reflects our ability to deliver high-impact, technologically advanced fracturing services that will help unlock the UAE’s energy potential.”

He added: “As we continue our transformation, we are proud to support the nation’s strategic energy goals and reinforce our position as a leader in integrated drilling and completion solutions.”

The company intends to deploy a suite of proprietary technologies, including artificial intelligence and real-time intelligent fluid systems, to optimise the process. This focus on advanced technology is designed to enhance hydrocarbon recovery while improving safety and reducing the environmental footprint of operations.

This latest agreement is the fifth major award for the group in little more than two months, following deals totalling over $3.5bn. These include a $1.63bn contract for integrated drilling services and a $1.15bn, 15-year deal for two jack-up rigs from ADNOC’s offshore division. The flurry of activity has bolstered the company’s financial outlook, with executives indicating the growth will be accretive to its return on equity and earnings per share beyond its current 2026 guidance.

The expansion is not confined to domestic operations, with a $400mn backlog from recent acquisitions in Oman and Kuwait signalling broader regional ambitions. This aggressive growth trajectory highlights the UAE’s determination to solidify its position as a leading global energy supplier, leveraging its drilling champion to exploit its extensive hydrocarbon resources with increasing technological sophistication. The ultimate value of the onshore contract remains subject to the pace of call-offs by the client.