Foreign firms bid for Aramco's mega gas project

Daelim Industrial, Hyundai E&C and Petrofac have placed individual bids

Aramco's gas projects are expected to add 5bn scfd to its processing capacity.
Aramco's gas projects are expected to add 5bn scfd to its processing capacity.

Foreign engineering firms have submitted bids for the consutrction of Saudi Aramco's Fadhili gas plant in eastern Saudi Arabia, Reuters reports.

South Korea’s Daelim Industrial, Hyundai Engineering and Construction, and Britain’s Petrofac have individually placed bids for EPC work on the plant, industry sources told Reuters.

Three new consortiums have also been formed to bid for the project. These are South Korea’s GS Engineering and Construction with Spain’s Tecnicas Reunidas, Italy’s Saipem with Japan’s JGC, and South Korea’s Samsung Engineering with Daewoo E&C.

The companies are competing for three construction packages- one for a gas processing unit, another one for utilities and a final package for offsite facilities such as nitrogen, steam, power and water systems, and sulphur recovery. Some bidders are seeking only one package, Reuters said.

It usually takes about two months after submission to evaluate bids for such projects, industry sources told Reuters.

Once completed, the plant with an estimated cost of up to $6bn will have a processing capacity of 2.5bn standard cubic feet per day (scfd).

It will process sour gas from the onshore Khursaniyah and offshore Hasbah fields in the eastern part of the country.

Aramco said in its 2014 annual report that the Fadhili gas plant “is on track to come onstream by 2019″.

Fadhili, together with other gas projects in Wasit and Midyan, are expected to add more than 5bn scfd of non-associated gas processing capacity to Saudi Aramco's plants.

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