SLB, Adnoc, Patterson-UTI form JV to develop UAE unconventional oil and gas

SLB (NYSE:SLB) said Monday it reached an agreement with Patterson-UTI Energy (PTEN) and Abu Dhabi-based Adnoc Drilling to create a joint venture to accelerate the United Arab Emirates’ unconventional oil and gas program.

SLB (SLB) said the JV will help the companies enhance innovations in artificial intelligence, smart drilling design, as well as completions engineering and production solutions.

The agreement will accelerate the initial scope of 144 unconventional wells for delivery by year-end 2025 with the potential for significant number of additional wells in the second phase, the company said.

SLB (SLB) will provide integrated drilling, stimulation and completion services, as well as project management, digital capabilities and subsurface support as part of the venture.

Adnoc will own a 55% majority equity stake in the JV, while SLB (SLB) will hold a 30% equity stake and Patterson-UTI (PTEN) the remaining 15%.