Saudi Aramco awards Chinese firm gas pipeline contract

09 January 2018
Chinese state-owned engineering firm wins deal to upgrade LPG pipelines and installing new network at Aramco’s JNGLF

Saudi Aramco has awarded the main contract for enhancing the liquefied petroleum gas (LPG) pipelines and installing new ones at the Juaymah NGL Fractionation Plant (JNGLF) to the China Petroleum Pipeline Engineering (CPPE), a subsidiary of state-owned CNPC.

According to regional projects tracker MEED Projects, the value of the main engineering contract awarded to the Chinese firm is estimated to be $90m. CPPE has reportedly beaten competition from other bidders for the $100m-worth project, including local contractors Arkad Engineering and Construction Company and Saudi Services for Electro Mechanic Works, fellow Chinese firm China Harbour Engineering Company, Italy’s Saipem, India’s Essar Projects.

US engineering major Jacobs is the front-end engineering and design (Feed) contractor for the project.

The project is due to be completed by 2019-end, and calls upon the contractor to provide 156 piping tie-ins and install 15 kilometres of pipeline network, among other jobs.

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