OMS Energy Unlocks Saudi Market with Key Wellhead Certification

SINGAPORE – January 15, 2026 – OMS Energy Technologies Inc. (NASDAQ: OMSE) has taken a significant step to solidify its position in the Middle East's competitive energy sector, announcing that its wholly-owned subsidiary, OMS Oilfield Services Arabia Ltd., has achieved the American Petroleum Institute’s (API) Specification 6A certification. This crucial validation for wellhead and Christmas tree equipment is widely seen as a mandatory key to unlocking high-value service contracts in one of the world's most technically demanding upstream markets.

The certification positions OMS Saudi to directly service and repair critical high-pressure equipment, expanding its offerings beyond its traditional manufacturing of specialty connectors and pipes. For OMS, a growth-focused manufacturer of surface wellhead systems (SWS) and oil country tubular goods (OCTG), this achievement marks a strategic pivot into higher-margin, engineered solutions and a direct challenge to the market's established players.

A Strategic Gateway to High-Stakes Contracts

In the elite circles of Saudi Arabia's oil and gas industry, the API Spec 6A certification is more than a quality badge; it is a non-negotiable prerequisite for entry. Major operators, including the state-owned giant Saudi Aramco, mandate this standard for suppliers involved with wellhead equipment, which is essential for controlling pressure and flow during drilling and production. Without it, a company is effectively locked out of the most lucrative service and maintenance contracts.

By securing this certification, OMS Saudi has dismantled a significant barrier to entry. The company can now leverage its 15-year operational track record and existing regional relationships to compete for contracts previously the exclusive domain of industry titans like Baker Hughes, SLB, and TechnipFMC. These global service firms have long-standing corporate procurement agreements with Aramco, but OMS Saudi's enhanced local capabilities now make it a formidable new contender.

"Achieving API Spec 6A certification in Saudi Arabia is a testament to the strong technical capabilities and disciplined operational standards our team has built over many years," commented Mr. How Meng Hock, Chairman and Chief Executive Officer of OMS. He emphasized that the milestone enables the company to "expand our suite of engineered wellhead solutions and services in a key strategic market."

This move represents a calculated diversification of the company's revenue streams. While specialty connectors and pipes remain its largest segment, the expansion into wellhead repair and maintenance services offers a pathway to more complex, higher-value work. It transforms OMS Saudi from primarily a product supplier to an integrated solutions provider, capable of offering end-to-end support for critical well infrastructure.

The 'Gold Standard' of Oilfield Safety and Reliability

API Specification 6A is renowned throughout the industry for its technical rigor. It sets exhaustive requirements for the design, materials, manufacturing, and testing of equipment used in high-pressure and high-temperature environments, where failure is not an option. The standard is designed to ensure the integrity of wellheads and Christmas trees that must safely contain pressures that can exceed 20,000 psi and temperatures reaching hundreds of degrees Fahrenheit, often in highly corrosive sour gas fields.

The certification process scrutinizes every aspect of production. It mandates the use of specific materials, such as forged alloy steels and nickel-based alloys, to prevent corrosion and ensure durability. It also requires a battery of validation tests, including hydrostatic pressure tests and non-destructive examinations, to confirm that every piece of equipment is free of defects. Industry experts note that this standard is the global "lingua franca" for critical upstream equipment, acting as a trusted quality stamp that significantly lowers operational, safety, and regulatory risks for operators.

Furthermore, the specification defines four Product Specification Levels (PSL), from PSL 1 to PSL 4, which dictate increasingly stringent quality control and testing requirements. Achieving certification, particularly for higher PSL levels, verifies that a company’s repair and maintenance practices meet the industry’s highest benchmarks for safety and reliability, providing operators with the assurance needed to manage their most challenging wells.

Powering the 'Made in KSA' Economic Vision

OMS Saudi's achievement resonates far beyond its own commercial interests, aligning perfectly with Saudi Arabia's ambitious economic transformation plan, Vision 2030. A core component of this vision is the 'Made in KSA' initiative, a program designed to boost local manufacturing, enhance the competitiveness of domestic industries, and build a robust, self-sufficient supply chain.

Major players like Saudi Aramco have heavily invested in local content through their In-Kingdom Total Value Add (IKTVA) program, which incentivizes suppliers to establish local manufacturing, create jobs for Saudi nationals, and transfer advanced technology to the Kingdom. By establishing an API 6A-certified facility for wellhead services within Saudi Arabia, OMS is demonstrating a deep commitment to this localization drive. This positions the company not merely as a foreign supplier, but as a strategic local partner contributing directly to the nation's economic diversification goals.

This local presence offers a distinct competitive advantage. It allows for more responsive service, reduced logistics costs, and closer collaboration with operators. For the Saudi government and its national oil company, supporting a locally certified entity like OMS Saudi helps achieve strategic objectives, making the company a highly attractive partner for long-term agreements and future projects.

Investor Confidence and Future Growth

For investors tracking OMS Energy Technologies on the NASDAQ, this certification serves as a powerful validation of the company's growth strategy in the Middle East and North Africa (MENA) region. The company has maintained a strong financial position, reporting revenues of $82.8 million and a net profit of $14.6 million in the second quarter of 2025, all while remaining debt-free. Analyst consensus has remained bullish, with some price targets suggesting significant upside from its current trading levels.

The API 6A certification, combined with the company’s existing API Q1, 5CT, 5L, and 7-1 certifications, establishes OMS Saudi as a premier, fully certified provider. While the immediate financial impact will depend on the successful conversion of this new qualification into secured contracts, the market views it as a critical de-risking event and a tactical milestone. It provides a strong foundation for product innovation, revenue growth, and strategic partnerships.

As Mr. How Meng Hock stated, the company will continue "broadening our regional presence and diversifying our certification, product and service portfolios, accelerating the Company’s growth and delivering value to all of our stakeholders." This move signals a clear and decisive push to capture greater market share, leveraging engineering prowess and a commitment to local value creation to build a lasting presence in one of the world's most vital energy hubs.