- First contract will manufacture, supply, store and service surface wellhead and tree systems over 10 years in the UAE
- Second contract will manufacture, supply, store, install and service liner hanger systems
BAKER Hughes has been awarded two contracts from Abu Dhabi National Oil Company (ADNOC) this week for equipment and services across multiple upstream fields and projects in the United Arab Emirates (UAE). The contracts were announced at this year’s Abu Dhabi International Petroleum Exhibition and Conference (ADIPEC).
As part of ADNOC’s largest ever wellheads award globally, Baker Hughes’ Surface Pressure Control (SPC) product line in the Oilfield Equipment business has been awarded a major contract for the manufacture, supply, storage, and servicing of surface wellhead and tree systems with local partner Al Ghaith Oilfield Supplies & Services Company. The contract covers ADNOC’s onshore and offshore fields in the UAE for the next 10 years, as well as a long-term service contract to cover the repair, maintenance, and spares for the project’s equipment.
In addition, Baker Hughes’ Oilfield Services (OFS) business has been awarded a contract to manufacture, supply, store, install and service liner hanger systems over five years with local partner Uni-Arab Engineering & Oilfield Service. The contract will leverage Baker Hughes’ in-country workshop and further supports the UAE’s emphasis on local manufacturing through in-country value strategy and localization.
“These are strategic deals for Baker Hughes within the UAE, strengthening our footprint and significantly increasing our presence in the region,” said Ayman Khattab, vice president of Surface Pressure Control for Oilfield Equipment at Baker Hughes. “Our localized presence and strong record of execution in the UAE makes us a partner of choice for ADNOC. We are supporting the UAE and ADNOC’s growing energy needs and committed to transforming the industry by providing reliable technology and delivering operational excellence.”
The first delivery of the surface wellheads and trees contract work will be in early 2022, and the first delivery of the liner hanger systems contract is planned for the second half of 2022.
The awards are an integral part of ADNOC’s 2030 strategy and support its supply chain and ecosystem development, local capabilities, and job creation for local talent. Additionally, the awards will help enable ADNOC’s drilling needs as it expands its production capacity. Baker Hughes’ business model supports ADNOC’s in-country value program and vendor managed inventory (VMI) service, maintaining an agreed inventory of required equipment in Abu Dhabi and allowing Baker Hughes to be more efficient and reduce delivery time.