Saudi KAD awarded Aramco pipeline contract
Saudi Aramco has awarded a key contract to Saudi KAD, one of the leading engineering, procurement and construction companies for its strategic pipeline projects relating to the Master Gas Program Phase II, and the Fadhili Gas Program.
On project completion in 2018, the Master Gas System capacity will increase to 12.5 billion standard cubic feet per day.
The scope of work includes engineering, procurement, construction and commissioning of a pipeline network which will total 1,118 km in length.
These vital pipelines will significantly expand Saudi Aramco’s capabilities for delivering sales gas to power plants and petrochemical facilities throughout the kingdom.
The pipeline sizes will vary, with the biggest diameter reaching 56-inches and extending over a distance greater than 1,000 km.
The scope also includes EPC work for valve stations, metering systems, launcher and receiver stations, fiber optic cables, as well as road and rail crossings, said the statement from Aramco.
Saudi KAD is already engaged in executing Saudi Aramco’s onshore maintain potential program.
The four new contracts awarded by the Saudi oil giant under the Master Gas Program Phase II and the Fadhili Gas Program will further strengthen its existing relationship with Saudi KAD.
Ahmad Al Jabr, the chairman of Saudi KAD,. said: “We are deeply honoured by the trust placed in us by Saudi Aramco’s award of these strategic projects. It clearly demonstrates Saudi Aramco’s commitment towards supporting and growing national contractors for the greater benefit of our national economy.”
“Saudi KAD will reciprocate this trust through meeting every commitment on the awarded projects, and continuing to pursue our aggressive localization agenda,” he stated.
Saudi KAD said all aspects of these projects will be executed in Saudi Arabia, as further evidence of its commitment towards local investment.
The EPC will be performed totally in-kingdom, thereby positioning Saudi KAD as the first fully-integrated Saudi EPC contractor.
Moreover, Saudi KAD will aim to achieve ambitious Saudization targets for its construction workforce, focusing on core skills such as welding, pipe fabrication and pipe fitting, it added.