Samsung Engineering inked a $1.85-billion-deal with Saudi Arabia on a gas project, according to Arabian Business.
The project is known as Aramco Hawiyah Unayzah Gas Reservoir Storage (HUGRS), located 260 kilometers (km) east of Saudi Arabia’s capital Riyadh. The area includes a gas injection facility of 1,500 million standard cubic feet per day (mmscf/d) and a gas reprocessing facility of 2,000 mmscf/d.
According to Samsung Engineering, the project is expected to be finished by 2023, including the execution of the whole engineering, procurement, and construction (EPC) process.
HUGRS will introduce an innovative way for natural gas production based on regional characteristics. Through this project, surplus of sale gas will be introduced into existing wells during winter to be reproduced later in summer – depending on the gas demand.
“Continuing to provide safe and quality projects, Samsung Engineering will ensure that this project will leave a mark in Saudi Arabia and will lead to build on our position in the Middle East overall,” Sungan Choi, Samsung Engineering’s President and CEO, said.
Saudi Aramco has been entering the Asian markets gradually, where recently it has signed a deal with S-Oil -South Korea’s third-biggest refiner – to supply .
6 billion worth of refined oil products to Aramco, according to Reuters. The deal stipulates that S-Oil will supply 10 million barrels (mmbbl) of diesel, up to 15 mmbbl of naphtha, up to 11 mmbbl of jet fuel and up to 8 mmbbl of gasoline to Aramco Trading Singapore.