Local contractor lowest bidder for Aramco pipeline

18 July 2011

RH al-Marri & Sons Company expected to be awarded Shaybah to Abqaiq pipeline contract

Saudi Aramco is evaluating the bids for the engineering, procurement and construction (EPC) contract for the Shaybah to Abqaiq natural gas liquids (NGL) pipeline in Saudi Arabia.

According to sources, the local RH al-Marri & Sons Company has made the lowest bid at $118m with the local Metalex Saudi Arabia second with $135m.

“The Al-Marri bid is competitive and they must be feeling incredibly confident about winning this contract,” says a contracting source based in Saudi Arabia.

The scope of works for the project includes constructing a pipeline that will transport NGL from the Shaybah oil fields to a processing plant complex at Abqaiq in the Eastern Province.

The project has been delayed slightly after Aramco changed the scope of the job. The changes included changing the pipe diameter to 36 inches, as well as changing the length to 636 kilometres (MEED 4:3:11).

The Shaybah NGL project will see Aramco separate about 228,000 barrels a day (b/d) of NGL from crude oil produced at the Shaybah field in the kingdom’s Empty Quarter. Phase one of the gas processing facilities will involve the construction of two NGL trains. Ethane and propane will also be produced.

KBR is the project manager for Shaybah NGL. The US firm is also conducting the front-end engineering and design (MEED 11:2:11).


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.

Get Notifications