ADES seals second jackup rig deal in Thailand
Saudi oil and gas driller ADES Holding has made significant strides in its operations in Southeast Asia. The company recently secured its second contract in Thailand, which marks a pivotal moment for its growth in the region. This new deal involves the redeployment of one of its suspended jackup rigs, further solidifying ADES’s presence in the competitive oil and gas market. With this contract, ADES is set to enhance its operational capabilities and expand its market share in Southeast Asia.
New Contract Details
The latest contract awarded to ADES is valued at approximately $276 million. It covers a firm five-year term for the jackup rig named Admarine 503. Additionally, the contract includes a three-year extension option, providing ADES with flexibility for future operations. According to a stock exchange filing by the company, the Admarine 503 rig is expected to join its sister rig, the Admarine 502, in the second half of 2025.
This contract represents the fourth redeployment of one of ADES’s suspended jackup rigs in Thailand. The strategic decision to redeploy these rigs highlights the company’s commitment to maximizing its assets and responding to market demands. With this new addition, ADES will have a total of five jackup rigs operating in Southeast Asia. This includes two rigs in Thailand, two in Indonesia, and one in the Malaysia-Thailand Joint Development Area.
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Market Impact and Future Prospects
With the new contract in place, ADES is poised to increase its market share in Southeast Asia to approximately 12%. This figure does not account for three additional rigs currently operating in India. The expansion into Thailand is a significant move for ADES, as it seeks to strengthen its foothold in a region known for its growing energy demands.
The oil and gas sector in Southeast Asia is becoming increasingly competitive. Companies are vying for contracts and market share as energy needs continue to rise. ADES’s strategic redeployment of its jackup rigs positions it well to capitalize on these opportunities. The company’s ability to secure long-term contracts demonstrates its reliability and expertise in the industry.
As ADES continues to expand its operations, it will likely focus on enhancing its technological capabilities and operational efficiency. This approach will not only help the company meet the demands of its clients but also ensure sustainable growth in the evolving energy landscape of Southeast Asia.
