Arabian Drilling Wins New Offshore GCC Contract

Saudi-listed Arabian Drilling Company (Tadawul: 2381) has signed a new offshore drilling contract with a new client in another Gulf Cooperation Council (GCC) country, marking its entry into an additional regional market beyond Saudi Arabia.

The move follows the early completion of the company's first international offshore drilling contract in the GCC. The same jack-up rig used in that earlier project has now been redeployed to the new market. operations under the new contract are expected to begin before the end of the third quarter of 2026.

As of 18 August 2026, the company has not publicly disclosed the client's name, the exact country, the contract value in Saudi Riyal, the day rate, or other detailed commercial terms for the new agreement. The contract is described as strengthening the company's backlog and supporting future revenues, without a published financial breakdown.

The earlier first international GCC contract was valued at SAR 75 million and focused primarily on exploration drilling of offshore wells, with an initial work program of five to seven months. That figure was described as an initial allocation with possible extension depending on exploration results, though no executed extension amount has been disclosed. Operations began in the first quarter of 2026 and were completed early, allowing the rig to be moved to the new GCC country.

Why it matters

Arabian Drilling has reactivated offshore rigs that were recalled in the fourth quarter of 2025, with all offshore rigs set to resume operations and a target of 100% offshore utilization by the second quarter of 2026. For residents following the Kingdom's energy sector, the expansion reflects growing regional demand for Saudi drilling services and reinforces the company's operational footprint across the Gulf.

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