ADNOC has signed a two-year extension contract with Vallourec Smart Tubular Solutions to supply the complete range of tubes and connections for both conventional and complex applications in onshore and offshore Oil and Gas fields.

The two-year deal builds on the 2019 initial contract valued at C.900 million. This extension will take effect in January 2025 and will last up to January 2027.

Besides the extension, the contract has been amended to expand the initial contract scope of supply to also include a new range of services, such as local pipe coating in addition to Vallourec’s new digital solutions such as Tallyvision, which streamlines installation operations by providing full traceability for each tube.

The customer will also continue to benefit from Vallourec’s operational storage area, equipped with a 100% digital management system.

Furthermore, Vallourec has secured a new major order for the supply of 27,000 tons of tubes. These products will be manufactured in Vallourec plants in France, Brazil, China and Indonesia, taking advantage of the Group’s production hubs. Deliveries will commence by 2024.

The Group will also be supporting its customer with its VAM® Field Service on-site assistance offering.

“The extension of our contract shows our customer’s trust and the added value they have received from this integrated tubes and services offering we have provided for the past four years as a reference supplier,” said Philippe Guillemot, Chairman of the Board of Directors and Chief Executive Officer of Vallourec,

“Under this extension, we are further expanding our range of services. Our customer has also recognized the value and quality of this enhanced offering with its significant new order. I am proud of the high level of our operations in Abu Dhabi and the unfailing commitment of our teams to our long-standing partner,” Guillemot added.