ADES to acquire Saipem’s Saudi rig-owning unit for $285m

ADES Holding, a Saudi Arabia-based lipid and state drilling services provider, has signed a woody worthy SR1.07bn ($285m) to get Saudi Arabian Saipem successful a determination to grow its offshore fleet.

Saudi Arabian Saipem is simply a rig-owning entity and a subsidiary of the broader Saipem group. It represents the Italian contractor's shallow-water drilling activities successful Saudi Arabia.

The transaction has been executed done ADES' indirectly owned subsidiary, ADES Saudi.

The acquisition includes 5 operational premium jackups, of which 3 are owned units, namely Perro Negro 7, Perro Negro 8 and Perro Negro 10. The remaining 2 – Perro Negro 11 and Perro Negro 13 – are leased units.

Currently, 4 of these rigs are operating successful Saudi Arabia. Perro Negro 10 is operating nether a charter successful Mexico but retains a valid declaration successful Saudi Arabia.

Saipem plans to usage the proceeds from the merchantability to enactment the objectives of its concern plan.

The transaction marks different measurement successful Saipem's strategy to ore its portfolio connected deepwater and harsh-environment offshore drilling, reinforcing the group's presumption successful higher-complexity, higher value-added segments.

Once the transaction is completed, the parties volition participate into a bareboat charter agreement, enabling Saipem to proceed its existent operations successful Mexico with the Perro Negro 10 rig and conscionable its existing commitments successful full.

Post-acquisition, ADES' offshore fleet volition summation to 88 units, with 51 classed arsenic premium units. Across each operations, the group's full fleet volition comprise 128 units, 88 offshore and 40 onshore.

As of the signing date, the acquisition carries an estimated backlog worth of astir SR3.8bn. The transaction is owed to beryllium funded done ADES' existing liquidity and disposable financing commitments.

ADES CEO Mohamed Farouk said: "We are pleased to denote this strategical acquisition, which represents different milestone successful ADES' maturation travel and further expanding our planetary offshore jackup fleet.

"The summation of five, high-specification premium jackups, with an mean fleet property of 10.4 years, further enhances our premium plus basal and supports net visibility, beardown currency travel procreation and semipermanent worth creation."

The acquisition volition besides people ADES' introduction into Mexico and is intended to align with the company's strategy of acquiring contracted assets to enactment contiguous gross and semipermanent backlog.

Completion of the woody remains taxable to regulatory approvals and different customary conditions, with closing expected successful the 3rd 4th of 2026.

In precocious 2025, ADES closed the antecedently announced all-cash acquisition of Shelf Drilling.

"ADES to get Saipem's Saudi rig-owning portion for $285m" was primitively created and published by Offshore Technology, a GlobalData owned brand.