ADES renews Saudi offshore platform contract for 10 years at SAR 1.09B

ADES Holding Co. renewed the contract for one of its suspended offshore platforms in Saudi Arabia for a period of 10 years, for approximately SAR 1.09 billion ($290 million).

This is one of the six platforms that were earlier suspended in Saudi Arabia, ADES said in a statement to Tadawul.

The renewal of contract strengthens the group's outlook regarding its operations in the Kingdom, it added.

This step will significantly enhance the visibility of future revenue and strengthen the sustainability of accumulated operations.

The statement highlighted that the platform is currently executing a medium-term contract in Egypt, and the start date for the platform's operations in Saudi Arabia will be confirmed later with the client.

In April 2024, ADES suspend the operations at five of its 33 offshore jack-up rigs in the Kingdom, for a period that may extend up to 12 months, Argaam data showed.