Saudi Aramco has awarded 34 contracts with a total value of $18 billion for the engineering, procurement and construction of the Marjan and Berri increment programs.
The oil giant plans to boost the Marjan and Berri fields’ production capacity by 550,000 barrels per day of Arabian Crude Oil and 2.5 billion standard cubic feet a day (BSCFD) of gas.
“These two programs will significantly enhance Saudi Aramco’s oil production and gas processing capabilities, both strengthening our position as the leading integrated energy supplier and meeting growing long-term demand for petroleum,” said Amin H. Nasser, president and CEO of Saudi Aramco.
“These investments will support our continued focus on employing best-in-class technologies, well completion, and reservoir management practices. It will enable Saudi Aramco to further reduce the carbon intensity of our crude oils, supporting our strategy of reducing emissions while providing energy to those who need it.”
More than 90 companies and institutions were invited to bid on the packages, and 16 Saudi and international companies were chosen in the fields of engineering, supply and construction. Saudi companies make up 50 per cent of the awarded contracts and they are high- caliber firms that have proven their ability to handle complex projects.
Contractors working on these projects are required to maximise the procurement of material and equipment from local suppliers and manufacturers to help achieve Saudi Aramco’s In-Kingdom Total Value Add Program (IKTVA) goals, which aim to increase the company’s locally-sourced goods and services to 70 per cent by 2021.