The King Salman Energy Park (SPARK) has completed 60 per cent of its first phase which consists of infrastructure, roads, utilities, and real estate assets established across 14 square kilometres, in addition to a dedicated three-square kilometre logistics zone and dry port.
SPARK is strategically located in the eastern region of the Kingdom between Dammam and Al-Ahsa.
A total of 6 billion Saudi Riyals was invested in the first phase of this mega project, which is set to be completed in 2021. Upon completion, the project will add 22 billion Saudi Riyals annually to the Kingdom’s gross domestic product by 2035, while creating thousands of new highly skilled job opportunities.
Chairman of the King Salman Energy Park, Dr. Mohammed Yahya Al-Qahtani said: “Achieving this feat strongly reflects our commitment to implement this unique project that is designed for the betterment of our community. SPARK will be a new engine fuelling the growth of the energy sector as well as driving the diversification agenda of our economy. As we take huge economic leaps, soon, we will be ready to attract the best talent and create new opportunities for our ambitious youth”.
Fifteen major energy companies have already signed agreements to invest in SPARK, and another fifteen companies are currently in the pipeline. It is forecasted that foreign direct investment in SPARK will exceed US$2 billion in the next two years, once these investors finalise the construction of their facilities.
SPARK has also signed an MoU with the leading global logistics specialists, Hutchinson Ports to create a joint venture company to manage and operate the dry port and logistics zone.
In April of 2019, Schlumberger commenced work on a US$46 million facility which will produce drilling solutions for the regional energy industry, as a result adding 260 jobs to the workforce. Yokogawa, another anchor investor in SPARK, is in the final stages of construction work on its new high-tech equipment centre.
The Oilfields Supply Company Saudi (OSC) is also currently building an oil and gas industry user supply base to accelerate the growth of small and medium enterprises by providing ready-to-use factories with the latest specifications, along with a range of integrated services and logistical solutions. To date, OSC Saudi has completed 10 per cent of its construction and building work, becoming one of the largest investments in SPARK, with a forecasted investment of 400 million US Dollars, spanning over 1 million square meters.