ADNOC Logistics & Services Plc (ADNOC L&S) announced a significant expansion in its Integrated Logistics segment in 2024, including the acquisition of 20 offshore assets and securing hire contracts for 19 Jack-Up Barge (JUB) deployments.
The expansion strategy included acquiring and deploying nine offshore support vessels (OSVs) such as passenger ferries, crew boats, anchor handling tug supply vessels, platform supply vessels and multipurpose supply vessels. Additionally, six newbuild flat-top cargo barges were procured from Premier Marine Engineering in Dubai to support Engineering, Procurement, and Construction (EPC) projects. The company also added two accommodation barges with the capacity to house 300 crew members each at offshore production sites.
These investments contributed to a 51% year-on-year increase in Integrated Logistics revenues for the first nine months of 2024, reaching $1.67 billion (Dh6.14 billion). Revenue growth was driven by improved utilisation of JUBs, fleet expansion, higher transported volumes, accelerated Hail & Ghasha project delivery and progress in EPC projects.
“Our strategic investments and fleet expansion are driving substantial growth in Integrated Logistics, our largest revenue-generating segment,” said Captain Abdulkareem Al Masabi, CEO of ADNOC L&S. “ADNOC L&S is poised to capitalise on market opportunities, ensuring sustainable growth and long-term value for our shareholders.”
Jack-Up Barges were key contributors to segment performance in 2024. Through its subsidiary ZMI Holdings, ADNOC L&S secured one-year contracts for 10 JUB deployments with six-month extension options, supporting EPC contracts in the UAE and Saudi Arabia. A five-year contract was also secured for a JUB deployment in Qatar, with a two-year extension option.
Additionally, the company signed three-year contracts with two-year extension options for eight JUBs to support operations in the UAE’s Upper and Lower Zakum fields. These contracts are expected to deliver revenue between $500 million and $600 million (Dh1.8 billion–Dh2.2 billion), with potential extensions adding $300 million to $350 million (Dh1.1 billion–Dh1.3 billion).
ADNOC L&S further enhanced its fleet with three shallow water JUBs acquired in 2024 to support UAE and Saudi Arabia operations. The company continues to expand its international footprint, operating JUBs in the US and the North Sea while exploring additional growth opportunities in these markets.
Integrated Logistics, the largest segment of ADNOC L&S, encompasses Offshore Contracting, Offshore Services, and Offshore Project activities. Since its IPO in June 2023, the segment has grown substantially, expanding its offerings and international reach within the energy sector.
