Companies prepare for $4.5bn Saudi gas plant project tender

06 March 2017

Saudi Aramco scheme will be split into four separate packages

Saudi Aramco has split its forthcoming estimated $4.5bn project to expand gas processing capacity at Haradh and Hawiyah into four engineering, procurement and construction (EPC) packages.

At least 14 companies have submitted prequalification documents for the tenders which are expected to be floated later this month.

The project will build new gas compression plants at Haradh and expand the gas plant at Hawiyah. The proposed facilities will have the capacity to process more than 1 billion cubic feet a day (cf/d) of additional gas produced at the Ghawar onshore oil field – the largest in the world.

Companies thought to have submitted prequalification documents include:

  • Arkad (Saudi Arabia)
  • CTCI (Taiwan)
  • GS Engineering & Construction (South Korea)
  • ENPPI (Egypt)
  • Hyundai Engineering & Construction (South Korea) / Hyundai Engineering (South Korea)
  • Intecsa (Spain)
  • JGC (Japan)
  • Larsen & Toubro (India)
  • Petrofac (UK) /Samsung Engineering (South Korea)
  • Saipem (Italy)
  • Sepco (China)
  • Sinopec (China)
  • SNC Lavalin (Canada)
  • Tecnicas Reunidas (Spain)
  • Tecnimont (Italy)

Many of the companies have not yet decided if they will bid individually or part of a consortium. Aramco is anticipated to set a bid deadline for June and the main contracts are expected to be awarded in the fourth quarter of 2017.

The tender will be split into the following packages:

  • Hawiyah Gas Plant Expansion (estimated budget: $1bn-$1.3bn)
  • North Haradh Compression Plants (estimated budget: $1bn-$1.2bn)
  • Satellite Haradh Compression Plants (estimated budget: $1bn-$1.2bn)
  • South Haradh Compression Plants (estimated budget: $1bn-$1.2bn)

 The front-end engineering and design (feed) study was carried out by Australia-based WorleyParsons.

Aramco CEO Amin Nasser said in 2016 that the kingdom’s gas network produces 12 billion cf/d and there are plans to increase this to 23 billion cf/d.

Aramco is currently executing the Fadhili gas plant project, which will have a capacity of about 2.5 billion cf/d and will process sour gas from the Khursaniyah oil field and the Hasbah non-associated gas field.

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