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McDermott to establish fabrication facility in Saudi Arabia

Industry

McDermott Arabia Company, a wholly-owned McDermott International subsidiary, will establish a fabrication facility located within the King Salman International Complex for Maritime Industries in Ras Al-Khair

This is in accordance with a memorandum of understanding signed between Saudi Aramco and McDermott.

The new facility will be used for large-scale fabrication of offshore platforms and onshore/offshore modules. In order to further enhance project execution capabilities in Saudi Arabia, McDermott will expand its in-country engineering and procurement offices as well as establish a new marine base in the eastern province to support the installation of offshore platforms, subsea pipelines and cables, skids and associated structures and assemblies.

Ahmad Al Sa'adi, Saudi Aramco senior vice-president of technical services, said, “This facility will serve as a major Engineering, Procurement, Construction, and Installation (EPCI) hub for not only the kingdom, but for the GCC region.”

Mohammad Al Assaf, Saudi Aramco vice-president of new business development, added, “Having this facility with International Maritime Industries (IMI) in the King Salman International Complex for Maritime Industries offers an integrated portfolio of maritime products and services.”

“The localisation of these capabilities will contribute to diversifying the economy, create almost 7000 jobs, and achieve a target of 60 per cent Saudisation by 2030,” Al Assaf stated.

The new facility in Ras Al Khair will be located on the east coast of the kingdom near the Jubail Industrial City. It will cover an area of approximately 1,150,000 sq m and will use cutting-edge technologies to ensure world-class safety, quality and efficiency standards

David Dickson, McDermott’s president and CEO, stated, “Expanding our fabrication capacity in Saudi Arabia demonstrates McDermott’s commitment to the kingdom’s Vision 2030 objectives,” said.

At peak production, the facility will have a capacity of more than 60,000 metric tonnes per year. It will localise expertise in multiple industry-related disciplines and is expected to create a significant number of direct and indirect job opportunities in the kingdom. It is expected that the facility will be operational by 2022.

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