Saudi Aramco has formally launched its joint venture with UAE-based Lamprell, the National Shipping Company of Saudi Arabia (Bahri), and South Korea’s Hyundai Heavy Industries Company to foray into the maritime industry and take control of its shipbuilding requirements.

The enterprise, to be called International Maritime Industries (IMI), will be based out of the Aramco-led Ras al-Khair industrial complex, and will provide one of the world’s largest maritime integrated service complexes, with completion expected by 2022.

By way of the joint venture, the state oil giant will localise key marine needs within its supply chain associated with offshore drilling and shipping, as well as reduce costs and response time.

The new facility will be able to manufacture four offshore drilling platforms, build more than 40 vessels, including 3 giant oil tankers, and annually service over 260 marine products.

IMI has already secured contracts for the manufacture of more than 20 platforms and the construction of 52 ships over the decade.

Major production and services are expected to start in 2019 and the project will be fully operational by 2022. The project is in line with Aramco’s objectives to optimise its supply chain and develop Saudi maritime expertise.