Arabian Drilling extends contract with Khafji Joint Operations for 3 years

An ADC offshore rig

Arabian Drilling Co. announced on July 13 the extension of an offshore drilling contract with Khafji Joint Operations Co. (KJO) for an additional three years.

According to a statement on Tadawul, the extension is projected to add an estimated total value of 8-12% of the company’s 2024 revenues to its future business portfolio.

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Arabian Drilling stated that the extension, which directly follows the existing contract, takes effect starting today, July 14.

As of March 31, 2025, the company had 19 drilling rigs in its fleet with contracts set to expire during the year.

Out of these, six contracts are renewed, and negotiations are ongoing with clients to renew the remaining.

Khafji Joint Operations is a joint venture between Aramco and Kuwait Gulf Oil Company K.S.C.C (KGOC), based in Khafji. It is responsible for managing oil and gas operations in the Neutral Zone.

Arabian Drilling recorded revenues of SAR 3.6 billion by the end of 2024. An amount equivalent to 8% to 12% of this total represents approximately SAR 290 million to SAR 434 million, Argaam data showed.