Aramco, Hyundai Heavy to set up engine plant in Saudi Arabia

Saudi Aramco and South Korea’s Hyundai Heavy Industries have signed a memorandum of understanding (MoU) to develop engines and marine pumps manufacturing business in the Kingdom, the national oil company said in a statement.

The manufacturing facility will be located at the maritime yard in Ras Al-Khair. The project is expected to generate over 650 direct jobs, as well as indirect jobs through the development of the supply chain, Aramco said.

The Saudi Arabian Industrial Investments Company (Dussur) will also be involved in the joint-venture project.

The facility is expected to start operations by the end of 2019, and the three firms are currently discussing final investment decisions, the statement said.

The manufacturing unit will produce 4-stroke engines under Hyundai’s HiMSEN brand licensing, along with 2-stroke engines and marine pumps.