Aramco establishes 2 offshore fabrication yards in Saudi Arabia

Logo of Saudi Aramco

Saudi Arabian Oil Co. (Saudi Aramco), in collaboration with National Petroleum Construction Company (NPCC) and McDermott International, is establishing two offshore fabrication yards in the Kingdom.

The offshore yards align with the company’s strategy that aims to localize the Kingdom’s maritime industry, Saudi Aramco said in a statement. They aim to supplement the nearby King Salman International Complex for Maritime Industries and Services. They are expected to contribute to improving the cost and effectiveness of the supply chain, provide investment opportunities of high financial and operational value.

The project also aims at harnessing the latest technologies. It is intended to serve the Kingdom, GCC and broader markets.

Start-up of the facilities is planned for the third quarter of 2023, with the initial combined production capacity estimated at roughly 70,000 metric tons (MT) per year, increasing the Kingdom’s total offshore fabrication capacity from 30,000 MT to 100,000 MT annually. When fully operational, the yards are expected to create up to 7,000 direct and indirect jobs, with a target Saudization rate of 70%.