UAE-based drilling giant ADNOC Drilling has widened its footprint in the Arab states of the Persian Gulf, thanks to a deal to obtain a majority stake in MB Petroleum Services (MBPS), a drilling and oilfield services (OFS) provider with operations in Oman, Kuwait, Saudi Arabia, and Bahrain.
The UAE drilling giant has made a move to boost its portfolio in the Gulf by entering into a definitive agreement to acquire 80% of MB Petroleum Services, marking its second acquisition in the region, subject to regulatory approvals, and accelerating its regional expansion strategy. The acquisition is expected to close in 1H 2026, subject to customary conditions.
This step is perceived to add scale and capability and strengthen ADNOC Drilling’s presence in Oman, Kuwait, Saudi Arabia, and Bahrain, which are seen as four key Gulf economies. Once completed, this acquisition is anticipated to further strengthen the firm’s operational and financial resilience, positioning it to navigate market cycles.
Abdulla Ateya Al Messabi , ADNOC Drilling’s CEO, highlighted: “This is a defining moment in ADNOC Drilling’s journey. The transaction represents a strategic leap that is expected to amplify our capabilities, accelerate our regional momentum and reinforce our position as a key energy services provider in the region.
“Upon completion, this partnership not only will strengthen our regional footprint but also position us to deliver enhanced value to our clients and shareholders in a rapidly evolving energy landscape.” With an enterprise value of $204 million (AED 749 million), the transaction encompasses a portfolio of 21 drilling and workover rigs, production service units, complemented by pre-qualifications, subsidiaries, and an established presence across four Arab states.
ADNOC Drilling claims to remain committed to “rigorous capital discipline, ensuring every investment is value-accretive and aligned with its robust financial framework. The transaction exemplifies the Company’s focus on prudent capital allocation and sustainable returns.
“This value-accretive transaction reflects ADNOC Drilling’s disciplined approach to growth, with the transaction expected to generate attractive returns. […] As demand for energy services surges across the region, ADNOC Drilling is strategically positioned to capture growth, deliver high-performance solutions, and unlock shareholder value.”
This portfolio enlargement comes months after ADNOC Drilling secured more work with ADNOC Offshore for two of its jack-up rigs.