Saudi-based ADES International Holding has secured a new offshore drilling contract valued at about $92.7 million in Nigeria, deepening its footprint in West Africa’s oil and gas industry amid renewed investment interest in the country’s offshore sector.
The agreement, awarded by Seplat Energy Producing Nigeria Unlimited, covers the deployment and operation of the Shelf Drilling Victory rig for an initial two-year period, with provisions for possible extension.
The contract, initially valued at 347.6 million Saudi riyals, also includes mobilisation and start-up costs, alongside the participation of a local Nigerian partner, in line with efforts to strengthen indigenous involvement in offshore energy operations.
The latest award further consolidates ADES’ growing position in Nigeria, with the company’s cumulative offshore contract portfolio in the country estimated at about $843.5 million between 2025 and 2026.
Nigeria has increasingly emerged as a strategic market for the Saudi drilling company as it expands beyond its traditional Middle East base into high-growth offshore regions.
ADES first entered the Nigerian market in 2025 through a $21.8 million drilling and completion contract awarded by Brittania-U Nigeria Limited. The project involved the deployment of the Admarine 504 jack-up rig for the drilling of six wells over a one-year period.
The company subsequently expanded its operations in March 2026 after securing a contract valued at up to $729 million for the deployment of three jack-up rigs under Nigeria’s Offshore Fields Development Project. The deal was awarded by a West African exploration company linked to the Dangote Group, marking a major boost to ADES’ regional ambitions.
Industry observers say the progression of contracts reflects the company’s broader strategy of transitioning from smaller entry-level projects into large-scale offshore developments and long-term partnerships with major operators in the region.
Chief Executive Officer of ADES, Mohamed Farouk, said the company’s continued expansion in Nigeria aligns with its long-term international growth strategy focused on high-potential offshore markets.
“Those extensions mark an important step following the acquisition of Shelf Drilling, reinforcing our strategic rationale of building a scaled, globally diversified platform with access to leading international markets and clients,” Farouk said.
According to him, West Africa remains a priority region as demand for offshore drilling services continues to rise.
“Our expanding international footprint allows us to capture opportunities across high-growth offshore markets like West Africa,” he added.
Farouk noted that the company’s asset portfolio and operational capacity position it to respond effectively to changing market conditions while pursuing sustainable growth.
“Supported by a high-quality asset base and strong execution capabilities, we are well-positioned to navigate evolving market dynamics and deliver sustainable long-term growth,” he said.
Analysts say Nigeria’s offshore oil segment is witnessing renewed investor interest as operators intensify efforts to increase production in response to shifting global supply patterns and sustained energy demand.
They noted that the country’s deepwater and shallow offshore assets remain critical to achieving long-term production targets and attracting fresh capital into the sector.
For ADES, the latest Seplat contract further reinforces Nigeria’s role as a strategic growth hub within its international operations, as the company continues to pursue expansion opportunities across Africa, Asia and other emerging offshore markets.
