Oil giant to release prequalification documents in January for oil refinery in southern Saudi Arabia
Saudi Aramco is preparing to release documents inviting contractors to prequalify to bid on engineering, procurement and construction contracts for packages at its $7bn Jizan refinery project in Saudi Arabia.
In July, MEED reported that the construction phase was being fast-tracked by Aramco with tenders being sent out by March or April of 2012, a full eight months ahead of schedule (MEED 1:7:11).
“We are expecting prequalification to start shortly with the documents being released in January,” says a contracting source based in Saudi Arabia. “This will be one of the largest projects in the region in 2012.”
The US’ KBR is currently carrying out the front-end engineering and design (feed), as well as the project management consultancy and sources indicate that there have been no issues with the project thus far.
The scope of works for the Jizan scheme will include the construction of a 400,000 barrel-a-day hydroskimming refinery, with an associated marine terminal.
Jizan is located in the south of the kingdom and is therefore a significant distance from Saudi Arabia’s oil-producing areas. The project was initially planned to become the first independent oil refinery in the kingdom.
Due to the distance between the oil fields and Jizan, crude and the subsequent refined products will not be transferred by a pipeline, but will enter and leave exclusively through the marine terminal.
Aramco plans to release the tender for the marine terminal in the first quarter of 2012 (MEED 30:9:11).
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