The Abu Dhabi National Oil Company (ADNOC) has implemented an initiative to drive efficiencies in its tendering process in order to improve its approach to procurement and to maximize its value and its community of suppliers and service providers, according to ADNOC’s press release.
Jasim M. Saeed, Senior Vice President, Group Procurement at ADNOC, stated “This initiative significantly speeds up ADNOC’s tendering process. The approach underscores our efforts to drive commerciality across our business and proactively respond to the demands of a fast-evolving energy landscape. We are very pleased to have completed this initiative in a timely manner and we continue to work on identifying more win-win solutions for us and our contractors and suppliers to enhance value as we deliver our 2030 strategy.”
According to the company’s statement, the program standardizes the terms and conditions for the procurement of drilling and oilfield goods and services across Adnoc’s entire value chain. “As a result, all of Adnoc’s pre-qualified bidders are now subject to the same terms and conditions in competitive tendering, reducing the timeline for legal negotiations from months to weeks.”
Moreover, the program has attracted over 1,100 international companies and United Arab Emirates (UAE) agent companies. The initiative was negotiated by ADNOC’s Legal Function outside of the tender cycle and completed in just two months, ensuring there was no impact on ADNOC’s operations. Some of ADNOC’s largest providers of oilfield goods and services have signed up to the program, including Baker Hughes, Halliburton, Schlumberger, and Weatherford.
Hichem Bouhlel, Managing Director at Schlumberger, also commented on the initiative and said: “We are very pleased to have had such great engagement with ADNOC on this initiative and thank them for their open and progressive discussions throughout this well-structured process.”