KARACHI: Schlumberger Ltd, a Texas-based drilling company, will remain in Pakistan despite its onshore drilling rigs business acquired by Arabian Drilling Company (ADC), a subsidiary of Saudi Arabia’s Industrialization and Energy Services Company (TAQA), for $415 million (SAR 1.56 billion), officials confirm.
TAQA on Sunday announced that its drilling subsidiary, ADC, has agreed to acquire Schlumberger’s Middle East onshore drilling rigs business in Kuwait, Oman, Iraq and Pakistan as part of its planned $1.2 billion acquisitions of drilling rig ventures.
“It has been reported that it is a simple merger but Schlumberger will remain in Pakistan”, Sher Afghan Khan, Spokesman of Pakistan’s Petroleum Division, told Arab News.
Through this expansion, ADC will become an industry powerhouse, operating a superior fleet of 58 onshore rigs and 9 offshore rigs across the Middle East and North Africa (MENA) region. The combined firm will have more than 5,900 employees and builds on ADC’s long-standing reputation of reliably serving national and international oil and gas companies for over 55 years, statement posted on TAQA official website says.
The transaction will combine the outstanding track records of the parties with respect to operations, quality of service, health, safety and environment. It will also create economies of scale and cost synergies, making ADC a regional leader, encompassing a diversified, multi-country and multi-client offering.
“This acquisition is fully aligned with Saudi Vision 2030. It unlocks value and drives growth across our entire value chain through a more integrated regional approach, while positioning a leading Saudi company as a global player,” TAQA chief executive officer Azzam Shalabi, who is also chairman of the ADC Board was quoted as saying in an interview at Dammam, Saudi Arabia.
Taqa plans to use about $800 million of its own funds for the planned acquisitions and may seek loans or sell bonds or sukuk for the rest, Shalabi said. It may consider an initial public offering in 2021, according to the website post.
As the transaction is expected to close in the second half of 2019, subject to regulatory approvals, the officials hope that it will benefit all stakeholders. “We look forward to supporting ADC in the next phase of its expansion and have full confidence that this will benefit all stakeholders, most notably our regional clients,” Shalabi added.
Schlumberger, provides technology for reservoir characterization, drilling, production, and processing to the oil and gas industry. reported revenues of $32.82 billion in 2018. The company reported $2,338 million revenue generation from Middle East & Asia region during January- March 2019, which is two percent higher as compared to the same period last year.
Schlumberger to remain in Pakistan despite merger with Saudi TAQA: Petroleum Ministry
Schlumberger to remain in Pakistan despite merger with Saudi TAQA: Petroleum Ministry
- A $1.2 bn deal will add company's onshore oil-rig business in Kuwait, Oman, Iraq and Pakistan to Arabian Drilling’s Saudi operations
- Taqa agreed on Sunday to pay around $415 million for Texas-based Schlumberger Ltd.’s Middle East drilling-rig business
Pakistan awards 11 onshore oil and gas blocks to boost domestic production
- Pakistan has faced a widening energy gap due to rising demand, limited domestic output, forcing it to import costly fuels
- Successful joint venture partners include state-run enterprises as well as local and international explorations companies
KARACHI: Pakistan has awarded 11 onshore oil and gas blocks for exploration to state-owned and private firms to boost domestic production and reduce reliance on costly energy imports, the Pakistani information ministry said on Thursday.
Pakistan has faced a widening energy gap due to rising demand and limited domestic output, forcing it to import costly fuels and expose the economy to global price swings. Its petroleum, oil, and lubricants import bill fell 4.39 percent to $9.046 billion in July 2025-January 2026.
On Thursday, the Petroleum Division signed petroleum concession agreements (PCAs) and exploration licenses (ELs) to award 11 onshore blocks for exploration, marking a significant step forward in advancing oil and gas exploration activities across the South Asian country.
The successful joint venture partners include the state-run Oil and Gas Development Company Limited (OGDCL), Pakistan Petroleum Limited (PPL), Mari Energies Limited (MariEnergies), Pakistan Oilfields Limited (POL) and Prime Global Energies (Prime).
“Signing of agreements demonstrate strong investor confidence in Pakistan’s upstream potential,” Petroleum Minister Ali Pervaiz Malik said, adding it aimed to boost domestic exploration, attract investment and reduce reliance on imported energy.
MariEnergies will serve as operator for six blocks. The company has secured 100 percent working interest in five blocks, including Padag, Chagai, Dalbandin, Merui, and Merui West, and will lead the Ahmad Wal block as operator with a 60 percent working interest, alongside the
Oil and Gas Development Company Limited (OGDCL) that will be holding 40 percent.
OGDCL will operate three blocks, including Kalat North with 100 percent working interest. It will also lead two joint venture blocks: Naing Sharif (OGDCL 70 percent as operator, Prime 30 percent) and Khiu-II (OGDCL 60 percent as operator, MariEnergies 40 percent).
PPL emerged as the highest bidder for the Kalat South block and will operate it with a 40 percent working interest, in partnership with OGDCL (30 percent) and MariEnergies (30 percent). POL secured the Jherruk block with 100 percent working interest.
“The minimum committed investment by the successful bidders exceeds USD31 million (approximately Rs8.66 billion) over the next three years,” the information ministry said. “In addition, more than Rs276 million ($987,133) has been committed toward social welfare initiatives in the respective areas.”
In the event of commercial hydrocarbon discoveries, substantial additional investments amounting to millions of dollars are anticipated for field development and production activities, according to the ministry.
Pakistan has announced new oil and gas discoveries in recent months. Islamabad this month announced a discovery at an exploratory well that produced 225 barrels of oil per day (BOPD) and 1.01 million standard cubic feet per day (MMSCFD) of gas.
In January, a discovery regarding an exploratory well, flowing at the rate of 4,100 barrels of oil per day (BOPD) and 10.5 million standard cubic feet per day (MMSCFD) of gas, was made in Kohat. In September 2025, Pakistan Petroleum Limited announced a discovery in Attock district, while Mari Energies reported a new gas find in North Waziristan.
“Recent discoveries would lead to further investments in development and production, create employment opportunities, stimulate economic activity in the regions and will contribute meaningfully to reducing reliance on imported energy,” Malik added.
