Hitachi to provide compressors to Aramco


Hitachi Ltd has signed a deal with Saudi Aramco to supply compressors to the state-owned company's oil and gas plants.

Nikkei reported that under the agreement, Hitachi Plant Technologies Ltd will advise Aramco on the compressor technology needed for the project and the Japanese company's engineering unit will be granted access to information necessary for maintenance.

Hitachi will be the first Japanese company to enter into such a deal with Saudi Aramco who has equivalent agreements with three European and American compressor manufacturers, including General Electric Co and Siemens AG, according to the Nikkei.

Saudi Aramco's oil and natural gas plants use around 10 compressors, with a single order expected to bring in US$125-$249mn in sales for Hitachi

As part of the deal, Hitachi will establish a maintenance base in the Kingdom this year as the Japanese firm sees growing demand and hopes to double its compressor operations from current levels to US$750mn which would include plant servicing and parts replacement.

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