Senior vice president confirms 15%-20% efficiency gains through AI logistics while ordering remotely operated vessels for mid-2027 delivery as NOC targets 5M barrels per day production capacity
Speaking at December’s Offshore Support Journal Middle East conference in Dubai, ADNOC L&S senior vice president of offshore logistics outlined a bold operational transformation linked to ADNOC’s goal of reaching 5M barrels per day by 2027. He also confirmed orders for remotely operated vessels, with delivery expected in mid to late 2027, alongside a pool-based operating model and multi-year contracts designed to underpin owner investment.
"We created an AI solution for integrated logistics across all our oilfields to deliver more cargo with fewer vessels. By optimising vessel deployment, route planning and cargo consolidation, we’ve achieved 15% to 20% efficiency improvements," Captain Mohamed Al Ali said during his day two keynote speech.
The gains directly address high regional utilisation where DP2 vessels command daily premiums of US$5,000-$6,000, double the rates premium observed two years prior.
He also detailed a pool-based operating model that fundamentally differentiates ADNOC L&S from conventional OSV operators managing fleets through individual time charters. The approach is seen as stabilising supply chains for owners and charterers while reducing exposure to volatile day rates. “When we negotiate multi-year renewals, we aim for five-year deals to give assurance on investment, sustainability and maintenance."
Captain Al Ali confirmed ADNOC L&S has contracted two remotely operated 60-m landing craft for Q2-Q3 2027 delivery, the first such vessels to serve Abu Dhabi offshore fields. "The vessels have 800-m2 deck space and ramps at both ends to carry vehicles. They will have hybrid propulsion and DP2 capability."
The company currently operates four hybrid crew boats with a DP2 platform supply vessel (PSV) conversion underway. He acknowledged ongoing challenges sourcing DP2-qualified crew but said present requirements are being met. "We have found throughout history that the best way to manage cost is to invest in people.
If you have the most competent people, even if you have to pay a little bit more to retain these people, it pays back in the long term through cost efficiencies, optimised operations and more safe operations."
When asked about the future fuel capability of the fleet, he said that while methanol-capable vessels were not on order, they could be seen as an aspiration, and that converting existing vessels was feasible.
For 2026 vessel requirements, Captain Al Ali anticipated stable drilling and production needs with modest construction-related increases. ADNOC L&S has 14 vessels spanning accommodation barges, crew boats, PSVs, landing craft and safety standby rescue vessels deployed on the Hail and Ghasha islands development.
Activity is also expected to ramp up on the Al Omairah project. “Al Omairah Island sits in the Lower Zakum area, spanning 800,000 m2. The island’s construction finished last month, and we are now preparing drill pad areas, with drilling anticipated to begin in about six months. A processing facility is being developed on the island and is expected to be completed by 2028, at which point production should commence.”
ADNOC L&S’s owned fleet averages 8-9 years, rising to 12 years when including chartered tonnage. The company will continue to extend the service life of 20-year-old vessels to 25 years through class condition assessment programmes. All ADNOC-owned vessels feature VSAT or Starlink connectivity enabling real-time data transmission for machinery performance monitoring, fuel consumption tracking and route optimisation.
For Captain Al Ali, the biggest digitalisation gap affecting the offshore industry at large is good data centres. ADNOC L&S, for its part, continues to invest strongly in data centres and communications systems.
During recent regional disruptions, the fleet, in common with most if not all operators in the region, experienced GNSS spoofing affecting vessel navigation and DP operations. No incidents occurred during the disruption, which Captain Al Ali credited to crew vigilance. The experience, however, has accelerated anti-spoofing technology evaluation for fleetwide deployment.
Ultimately, he said, the path forward requires courage, capital and commitment. "Success will belong to those who think beyond the immediate contract and commit to modernisation, efficiency and sustainability."
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