ADES Holding Company has secured an extension for its three offshore jack-up rigs operating in Egypt, with the contract valued at 450 million Saudi riyals ($120 million). 

The three rigs are contracted by the General Petroleum Co. (GPC), which notified of a two-year extension for the Admarine III and Admarine VI contracts, as well as a one-year extension for the Admarine V contract, the company said in a statement to the Saudi stock exchange.

ADES expects the extensions to be executed in the coming weeks following the approval of the state-owned Egyptian General Petroleum Corporation, which holds majority ownership in  GPC.

“The renewals replenish our backlog at higher daily rates – reflecting the current tight market conditions for offshore jack-ups – and strengthen business and cash-flow visibility,” said Dr. Mohamed Farouk, CEO of ADES Holding.

(Writing by D Madhura; Editing by Anoop Menon)

(anoop.menon@lseg.com)

Subscribe to our Projects' PULSE newsletter that brings you trustworthy news, updates and insights on project activities, developments, and partnerships across sectors in the Middle East and Africa.