Italy's Saipem is understood to be in advanced negotiations with Saudi Aramcofor the contract to build a new pipeline between Rabigh refinery and the AY-1 pipeline, which runs between the Gulf and Red Sea coasts (MEED 10:1:03).
Seven companies participated in the estimated SR 200 million ($53.3 million) tender, which calls for the construction of a 146-kilometre, 36-inch-diameter pipeline with associated infrastructure. It will run between Rabigh and the EURB1 station on the AY-1 line.
The other bidders are: Paris-based Technip-Coflexip, the Netherlands' Suedrohrbau, Lebanon's Contracting & Trading Company, Athens-based Consolidated Contractors International Company (CCC), Italy-based Techintand Turkey's Tekfen.
Aramco last year completed the decruding and cleaning operations of the 1,000-kilometre AY-1 line as part of the company's plans to convert it into a gas and oil pipeline.
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