Arabian Drilling Wins $800M SLB Drilling Deal

Arabian Drilling Company has signed a five-year contract worth approximately SAR 3 billion (about USD 800 million) with SLB Schlumberger Middle East S.A. to provide 11 onshore drilling rigs for gas operations in Saudi Arabia. The agreement was formalized on 30 August 2026 (17/03/1448H) and disclosed through the Saudi Exchange issuer announcement system.

The deal follows a lump sum turnkey (LSTK) framework, in which a single contractor handles all project stages for a fixed price. Under the arrangement, Arabian Drilling supplies and operates 11 land rigs — the same units previously deployed under an earlier SLB gas LSTK project in the Kingdom — for integrated gas drilling operations.

the contract is expected to begin contributing to Arabian Drilling's revenues from the third quarter of 2026 and to support continued utilization of the company's land-rig fleet throughout the five-year term. Public filings specify only the aggregate contract value; no per-rig, per-well, or per-day fee breakdowns have been disclosed.

Why it matters

The agreement extends the operation of onshore gas rigs that support ongoing gas resource development in Saudi Arabia. For residents and the wider business community, contracts of this scale point to sustained activity in the Kingdom's energy sector, which underpins jobs, service industries, and long-term investment. Steady utilization of the rig fleet over five years offers a degree of visibility for one of the country's drilling operators.

The value, duration, and parties were formally reported through the Saudi Exchange as the official regulatory channel for material information from listed companies.

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