Aramco awards US$18bn in contracts to expand oil and gas production

SAUDI ARAMCO has awarded contracts worth US$18bn to build process plants and expand oil production capacity at two fields in Saudi Arabia.

The 34 contracts are for engineering, procurement and construction of the Marjan and Berri fields as it seeks to increase production by 550,000 bbl/d of oil and 2.5bn ft³ of gas. Half of the contacts went to Saudi firms, while photos from the signing ceremony show McDermott, Subsea7 and Sinopec were among foreign companies that secured the rest.

Developments at Marjan will include the construction of a new offshore gas oil separation plant and 24 offshore oil, gas and water injection platforms. Saudi Aramco will also expand its onshore complex in Tanajib, constructing a new gas plant to include gas treatment and processing, NGL recovery and fractionation, and gas compression facilities; it will also add a water desalination facility.

The expansion at Berri requires a new gas oil separation plant in Abu Ali Island and gas processing facilities at the Khursaniyah gas plant. Furthermore, the programme will include a new water injection facility, two drilling islands, 11 oil and water offshore platforms and nine onshore oil production and water supply drill sites.

Amin Nasser, CEO of Saudi Aramco, said: “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”.