Saudi Aramco signs agreement to establish engineering, procurement, construction, and installation facility
Saudi Aramco signed a land lease agreement with McDermott Arabia Company, Ltd., a subsidiary of McDermott International, Inc. to grant McDermott a lease to establish a fabrication facility located within the King Salman International Complex for Maritime Industries in Ras Al-Khair, Saudi Arabia. This is pursuant to a Memorandum of Understanding signed between Saudi Aramco and McDermott.
The new facility will be used for large scale fabrication of offshore platforms and onshore/offshore modules. To further enhance project execution capabilities in Saudi Arabia, McDermott will also expand its in-country engineering and procurement offices, as well as establish a new marine base in the Eastern Province to support the installation of offshore platforms, subsea pipelines and cables, skids, and associated structures and assemblies.
“This facility will serve as a major Engineering, Procurement, Construction, and Installation (EPCI) hub for not only the
“Having this facility with International Maritime Industries (IMI) in the King Salman International Complex for Maritime Industries offers an integrated portfolio of maritime products and
The new facility in Ras Al Khair will be located near the Jubail Industrial City on the Kingdom’s east coast. It will cover an area of approximately 1,150,000m2 and will utilize cutting edge technologies to ensure
“Expanding our fabrication capacity in Saudi Arabia demonstrates McDermott’s commitment to the Kingdom’s Vision 2030 objectives,” said David Dickson, McDermott’s President
“We will establish a
At peak production, the facility will have a throughput capacity in excess of 60,000 metric tons per year. It will localize expertise in multiple disciplines related to the industry and is expected to create a significant number of direct and indirect job opportunities in the Kingdom. Apprenticeship and training programs will also be provided to ensure that a sufficient number of qualified nationals of the Kingdom are available for hire to meet the in-Kingdom content requirements. The facility is expected to be operational by 2022.
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