ADNOC Drilling expansion into Kuwait and Oman marks a strategic move to grow beyond its home base in the UAE. The company recently signed a joint venture deal with global oilfield services leader SLB. This partnership will focus on the land drilling rigs business in both Kuwait and Oman.
Under the agreement, ADNOC Drilling will own a 70 percent stake in the joint venture. The deal includes eight fully operational land rigs—two located in Kuwait and six in Oman. These rigs currently serve national oil companies under long-term contracts.
ADNOC Drilling’s chief executive described the deal as a value-added step for the company’s portfolio. He explained this expansion fits the company’s goal to widen its footprint beyond Abu Dhabi. This joint venture will help the company become a leading regional provider of integrated drilling services. It also establishes a strong operational and financial foundation to support further growth across the Gulf.
Besides this partnership, ADNOC Drilling is actively pursuing tenders in Kuwait and Oman. The company continues to explore new joint ventures and acquisitions to extend its market reach in 2025. These efforts come as the company posted a 25 percent profit increase in the first quarter, reaching $341 million. Growth in its rig fleet and new markets fueled this rise.
Last year, ADNOC Drilling also launched Enersol with Alpha Dhabi Holding. This tech-focused venture aims to invest $1.5 billion in oilfield services technology companies by the end of 2025. Enersol has already acquired four companies and used $800 million of its capital.
Through the ADNOC Drilling expansion into Kuwait and Oman, the company gains immediate access to earnings and cash flow. This partnership will accelerate its regional presence with established rig operations.
The company currently owns 57 rigs in Abu Dhabi and plans to increase this to 62 in 2025. It also has six rigs under construction, expected between late 2025 and 2027.
Executives expect demand for rigs to continue despite the shift toward renewable energy. They believe oil will remain a critical resource in the foreseeable future.
Additionally, SLB’s Middle East and North Africa president expressed enthusiasm for expanding strategic partnerships. Regulatory approvals are expected in early 2026. Once complete, ADNOC Drilling will fully consolidate the joint venture results into its financial reports.
ADNOC Drilling remains the Middle East’s largest integrated drilling company by fleet size. It ended last year with 142 rigs, including 95 onshore and 47 offshore. The company expects to operate at least 148 rigs by the end of 2026 and 151 rigs by 2028.
In conclusion, the ADNOC Drilling expansion into Kuwait and Oman strengthens the company’s position in the Gulf. This move reflects its commitment to growth and leadership in the regional oilfield services sector.
