Italy’s Saipem has completed the sale of its shallow-water offshore drilling business in Saudi Arabia to ADES Saudi Limited Company, an indirect subsidiary of ADES Holding. The transaction transfers to ADES a fleet of five self-elevating rigs linked to Saudi Arabian Saipem.
With the closing, Saipem takes another step in its strategy to focus its offshore drilling portfolio on deepwater and harsh environments. These segments require more technically complex operations and represent higher value-added areas for the company.
The acquisition also enables ADES to strengthen its position in Saudi Arabia and expand its international presence with operations in Mexico.
ADES adds 5 jack-up rigs
Saudi Arabian Saipem carries out offshore drilling activities in shallow waters. Its fleet includes three owned self-elevating rigs: Perro Negro 7, Perro Negro 8, and Perro Negro 10.
These units are complemented by two leased rigs, Perro Negro 11 and Perro Negro 13. With the transaction, ADES adds five high-end operational jack-ups and increases its global fleet to 128 units.
As a result, the company now operates 88 offshore self-elevating rigs, including 51 premium units, in addition to 40 land rigs.
The acquisition also adds approximately 3.7 billion Saudi riyals, equivalent to about $987 million, to ADES’ backlog as of the closing date.
Saipem retains Perro Negro 10 for its operations in Mexico
Although ownership of Saudi Arabian Saipem changes hands, one of its rigs will remain temporarily tied to Saipem’s operations.
Both companies signed a bareboat charter agreement for Perro Negro 10. This contract will allow Saipem to continue using the rig in its current operations in Mexico.
The agreement aims to maintain operational continuity and enable the Italian company to meet its contractual commitments to its clients.
For ADES, this structure also marks its operational entry into Mexico. The company thus expands its international presence to 21 countries while consolidating its position in the Saudi offshore market.
Saipem focuses its strategy on more complex offshore drilling
The sale was announced on June 24, 2026, and was completed after receiving the relevant regulatory approvals and meeting the conditions set for closing.
For Saipem, the divestment reflects a reorganization of its drilling portfolio. The company is seeking to concentrate resources on deepwater operations and harsh environments, where projects entail greater technical demands.
The Italian company maintains global engineering and construction activity for the energy and infrastructure sectors, both offshore and onshore. Its structure includes business lines related to asset-based services, drilling, subsea solutions, offshore wind energy, and sustainable infrastructure.
ADES strengthens its offshore fleet and contract backlog
ADES, for its part, is receiving assets that are already operational and have an average age of 10.4 years. ADES Holding CEO Mohamed Farouk noted that adding these rigs complements the existing fleet and leverages the operational experience the company maintains in Saudi Arabia.
The company also said that utilization of contracted self-elevating rigs stands at around 90% while day rates remain firm and tendering activity increases in markets considered strategic.
In parallel, ADES reported that it received notices to resume operations of all its offshore rigs that had been temporarily suspended in Gulf Cooperation Council countries.
Source: Saipem
Photo: Shutterstock
