Enersol to boost energy capabilities through Deep Well Services acquisition

Enersol, a joint venture formed by ADNOC Drilling and Alpha Dhabi Holding, is making headlines with its recent decision to acquire a substantial 95% stake in Deep Well Services, a technology-driven energy services company based in the United States. The acquisition, valued at approximately $223 million, includes contingent payments tied to the performance of the new entity. This strategic move underscores Enersol’s commitment to expanding its reach and integrating advanced technological solutions within its portfolio, solidifying its position in the energy sector.

A transformative step in energy services

Deep Well Services, founded in 2008, has made a name for itself by specializing in high-pressure well operations and pioneering complex, long-lateral, multi-well completions. The company is also recognized for its innovative data analytics systems and comprehensive training programs accredited by the International Association of Drilling Contractors. Enersol’s acquisition of Deep Well Services is set to enhance the capabilities of ADNOC Drilling and Alpha Dhabi Holding, positioning them as significant players in delivering technologically advanced and efficient energy solutions.

An expanding portfolio of acquisitions

This acquisition is not Enersol’s first major investment. The joint venture has made a series of strategic acquisitions aimed at reinforcing its technological and operational capabilities. Notably, Enersol acquired EV Holdings, a leader in vision-based diagnostics and analytics services tailored for the oil and gas industry, for approximately $45 million. The joint venture also increased its ownership stake in Gordon Technologies, a key provider of measurement-while-drilling services, to 67.2%, and secured a 51% share in NTS Amega, a global manufacturer of precision equipment for the energy sector. These acquisitions, coupled with the addition of Deep Well Services, are part of Enersol’s vision to create a robust network of technology-centric energy services.

Supporting the UAE’s energy ambitions

The acquisition of Deep Well Services comes at a time when the UAE is scaling up its efforts to harness conventional and unconventional energy resources. With this new addition to its portfolio, Enersol aims to support ADNOC Drilling’s substantial $1.7 billion contract to deliver 144 unconventional wells to ADNOC Group. The integration of Deep Well Services is expected to bring sophisticated technological solutions that will drive operational excellence and increase drilling efficiency across various projects.

Expert opinions on Enersol’s strategic move

Energy sector analysts have noted that Enersol’s purchase of Deep Well Services is a calculated step to fortify its market standing and broaden its technological edge. Industry experts remarked that by embedding Deep Well Services’ proven expertise in handling high-pressure well interventions and leveraging advanced data analytics, Enersol will significantly amplify its service capabilities. The move is projected to enhance Enersol’s competitive positioning, making it a formidable player in the global energy services market.

Looking ahead: the future of Enersol

Enersol’s string of acquisitions highlights its ambition to become a leader in the technology-driven energy services sector. By integrating innovative technologies and expanding its suite of services, Enersol is poised to deliver higher value to its stakeholders while adapting to the evolving demands of the energy industry. The acquisition of Deep Well Services is another step in solidifying its position as an influential entity equipped to meet the challenges and opportunities in the global energy landscape.