Saudi Arabia’s Biggest Driller Expands Into Oman

Saudi Arabia’s Biggest Driller Expands Into Oman

Wed, August 19, 2026 at 8:03 PM GMT+3 2 min read

• 2381.SR -0.46%

Saudi Arabia's Arabian Drilling Company has secured a new offshore drilling contract in Oman covering as many as four wells, extending the company's push beyond its domestic market.

The Saudi-listed drilling contractor signed the agreement with Masirah Oil Limited and Northern Offshore Ltd for two firm wells plus two optional wells. Operations are expected to begin before the end of the third quarter of 2026.

Arabian Drilling did not disclose the contract value but said the deal is expected to contribute to its 2026 financial results and strengthen its backlog and future revenue visibility.

The contract follows the early completion of Arabian Drilling's first international offshore assignment and the subsequent redeployment of its jack-up rig elsewhere in the Gulf Cooperation Council region.

The new campaign could also provide a boost to Oman's Block 50, located in the Arabian Sea off the country's east coast. Masirah Oil holds a 100% interest in the concession, which contains the producing Yumna oil field.

Yumna achieved first oil in February 2020 and had produced approximately 9.07 million barrels cumulatively by the end of 2024. More recently, however, production has declined. Block 50 output averaged around 742 barrels per day in March 2026, compared with 854 bpd in January.

Masirah Oil has been working to sustain Yumna's production and increase recovery from the field, making additional development drilling increasingly important. The company had previously outlined plans for a three-well drilling program during 2026.

For Arabian Drilling, meanwhile, the agreement represents another step toward building a broader regional business.

"As we continue to expand our regional presence, we remain focused on delivering sustainable growth, creating long-term value for our shareholders, and supporting the evolving needs of the energy sector across the region," CEO Fahad Albani said.

The Oman campaign gives Arabian Drilling another opportunity to demonstrate that its offshore fleet can compete beyond Saudi Arabia as drilling activity expands across Gulf markets

Oilprice Intelligence brings you the signals before they become front-page news. This is the same expert analysis read by veteran traders and political advisors. Get it free, twice a week, and you'll always know why the market is moving before everyone else.

You get the geopolitical intelligence, the hidden inventory data, and the market whispers that move billions - and we'll send you $389 in premium energy intelligence, on us, just for subscribing. Join 400,000+ readers today. Get access immediately by clicking here.