Saudi Arabian Oil Co., Aramco will again invite companies to bid for contracts to develop the Manifa oilfield after it canceled a contract with Snamprogetti, Saudi-based Al Riyadh daily reports.
Aramco decided to re-launch its major projects after the decline in raw materials prices, including steel, cement by 40%, the paper reports, citing a contractor.
The project is part of the estimated $10 billion Manifa development program, Aramco’s largest-ever offshore project and aims to add 900,000 b/d of Arabian Heavy crude production by mid-2011.
Snamprogetti, part Saipem will be invited to bid again for the project along with Bechtel, Technip and Foster Wheeler.
(Dow Jones & Rigzone)