EXCLUSIVE: Saudi Aramco sets June deadline for LTA expansion bids

31 May 2018
Deadline has been extended at least twice in the past

Saudi Aramco has extended the deadline to 6 June for companies to submit bids to join its pool of offshore contractors.

The previous deadlines were in May and April.

Aramco is understood to have invited eight firms to bid to join its pool of offshore engineering contractors with long-term agreements (LTA). Aramco is expected to award the new LTAs in August.

Five firms already have LTAs to exclusively bid for Aramco’s offshore work.

It is understood that the new LTAs will expand the pool of contractors and not renew existing LTA contracts due to expire in 2021.

Saudi Aramco has raised its capital expenditure budget for the coming decade to $414bn from the previously announced $334bn. Much of this has been allocated for offshore oil and gas projects.

The five present LTA firms are said to have full order books, and there is concern they could struggle to complete the assigned works on time and on budget, prompting Aramco to seek to expand the club.

A MEED Subscription...

Subscribe or upgrade your current MEED.com package to support your strategic planning with the MENA region’s best source of business information. Proceed to our online shop below to find out more about the features in each package.