State oil giant Saudi Aramco announced it had signed four engineering contracts to build its Fadhili gas processing project worth more than $13b, reported The National. The Fadhili gas project, which is expected to reach completion in 2019, will be the first in Saudi Arabia to treat gas from onshore and offshore fields.
The Fadhili project is expected to add more than 5b standard cubic feet per day (SCFD) along with Wasit and Midyan gas projects, raising Saudi gas production capacity to more than 17b SCFD by 2020. Aramco’s CEO, Nasser Amin, stated that “the increased gas production will mean more feedstock for industries to expand, and new ones to emerge that will help drive job creation, a key objective of Saudi Vision 2030.”
The plan for Fadhili gas field includes a 1,500MW power plant, which will use 400MW of electricity to power the gas project and send the remaining 1,100MW to the domestic grid.
Saudi Electricity Co. (SEC) and France’s Engie were among the firms that signed contracts with the state-owned oil giant. The contracts additionally involve India’s Larsen & Toubro for work on offshore facilities, according to Trade Arabia.
In line with Saudi’s National Transformation Plan, Aramco’s CEO, Nasser Amin, said: “Saudi Aramco’s multi-billion dollar investment in Fadhili will considerably increase the share of gas in the kingdom’s energy mix and fits in with our long term strategy to lower emissions.” He further stressed that the project will be essential for the kingdom’s industrial diversification and energy efficiency.
Aramco has recently also partnered with General Electric to install the kingdom’s first wind turbine at the Turaif Bulk Plant, generating 9.5 GW of renewable energy.