Saudi Arabia’s drilling player nets first international contract

Saudi Arabia’s Arabian Drilling has signed a contract with an undisclosed company from the Gulf Cooperation Council (GCC). 

As the firm’s first offshore operation outside Saudi Arabia, this is considered a milestone for its plan to strategically expand its operations beyond its domestic market. Arabian Drilling deems the event the most significant since the company’s listing on the Saudi financial market Tadawul in November 2022.

The operations under the new contract, which is valued at SAR 75 million, or roughly $20 million, are set to begin in Q1 2026. The majority will cover preliminary drilling of exploration wells lasting 5 to 7 months. Depending on the outcomes of these exploratory efforts, the contract could be extended.

Ghassan Mirdad, Chief Executive Officer of Arabian Drilling, commented: “Signing this contract signifies a strategic milestone for Arabian Drilling as it marks our first major step in expanding our operational footprint internationally. We are on the verge of fulfilling what we promised, and I am confident in our team’s ability to deliver exceptional value through this important step, which we see as the beginning of many future contracts. 

“As we witness the unfolding events of this year, we are preparing to take significant steps to implement a major transformation with the aim of becoming a stronger and more flexible company, with a sustainable financial structure, and we look forward to facing the future with confidence, aiming to achieve long-term sustainable returns for our shareholders.”

The company also informed that a new branch was established in Sharjah, United Arab Emirates. This branch will act as a base for the company’s regional operations within the GCC and beyond. 

Earlier this month, the drilling player signed contract extensions for five of its rigs, one with Khafji Joint Operations (KJO) and four with Aramco.