MoU advances ADNOC Drilling’s plans to further expand its industry-leading offering and continuously develop new sources of revenue growth
Existing wells present opportunity to be retrofitted for renewable geothermal energy and leverage potential for greater efficiency and sustainability
MoU follows Masdar’s first entry into geothermal energy last month and reinforces ADNOC Drilling’s deep expertise in its sector
Abu Dhabi, UAE – March 21, 2023: ADNOC Drilling Company PJSC (“ADNOC Drilling” or “the Company”) (ADX symbol: ADNOCDRILL / ISIN: AEA007301012) has signed a five-year Memorandum of Understanding (‘’the MoU’’) with Masdar, one of the world’s leading clean energy companies. Under the MoU, the companies will explore collaboration around development, investment, operations, and projects to responsibly advance the energy transition both in the UAE and globally.
Under the MoU, which reinforces ADNOC Drilling’s deep expertise in its sector, the Company will engage as a drilling technical expert and advisor to support Masdar’s deployment of geothermal energy around the world. The companies will jointly evaluate the potential for ADNOC Drilling to provide geothermal drilling services.
Abdulrahman Abdulla Al Seiari Chief Executive Officer, ADNOC Drilling, said, “Geothermal energy has enormous global potential and energy developers are challenged to ensure smart and innovative ways to deliver cost-effective wells. Our leading integrated drilling services offering can bring advanced, efficient start-to-finish drilling and completion technologies to enable Masdar the potential to generate clean geothermal energy to cool thousands of homes and office buildings.”
Mohamed Jameel Al Ramahi, Chief Executive Officer, Masdar said, “This MoU with ADNOC Drilling further reinforces Masdar's commitment to unlocking clean energy opportunities across a wide range of technologies. With Masdar recently adding geothermal energy to our growing clean energy portfolio, we are excited about the important role that geothermal can play in helping to drive forward the global energy transition, and we look forward to working with ADNOC Drilling to realize that potential."
Geothermal energy harnesses the heat generated within the Earth’s core to provide a constant energy source, unlike solar or wind, which are intermittent in nature. Accessing geothermal energy can be extremely challenging, with studies conducted by Masdar demonstrating the need to deploy new drilling and completion technologies to drive cost efficiencies across the entire process.
Masdar entered the geothermal energy sector last month, with a strategic investment in Indonesia’s Pertamina Geothermal Energy (PGE), one of the world’s largest geothermal players. Masdar sees geothermal energy as potentially playing a significant role in the clean energy transition, helping nations with a high concentration of geothermal activity to reduce carbon emissions.
The MoU underpins ADNOC Drilling’s commitment to expand its industry leading service offering as well as develop new sources of revenue growth. Capitalizing on the Company’s depth and breadth of technical expertise to advance projects that contribute to the global energy transition.
Established in 2006, Masdar is the UAE’s clean energy powerhouse, active in over 40 countries across the globe, and has invested in a portfolio of renewable energy projects with a combined capacity of around 20 gigawatts (GW).