Oil company Saudi Aramco has signed 15 Memoranda of Understanding (MoUs) and strategic and commercial collaborations worth more than US$34bn at the Future Investment Initiative (FII) forum in Riyadh
The MoUs was signed with 15 international partner companies and entities from eight countries in three continents.
The MOUs reflect both Saudi Aramco’s and the kingdom’s international partnership strategies and the determination to diversify the economy, enhance the domestic investment environment and boost employment opportunities.
The MOUs support Saudi Aramco’s forward-looking strategy across business units, including downstream, offshore, and engineering. It engages with companies representing eight countries including major businesses in France, China, US, Japan, the UAE, UK, South Korea and India.
A number of these MOUs will enhance the In-Kingdom Total Value Add (IKTVA) programme, Saudi Aramco’s flagships initiative to improve the domestic supply chain, its operations and its employment potential, through greater commercial engagement with Saudi businesses. IKTVA’s localisation objective is to achieve 70 per cent of locally supplied goods and services by 2021.
In the area of job creation, Saudi Aramco has proactively pursued opportunities to pilot the high value job creation in the kingdom, increasing opportunities for Saudi citizens over the next 10-15 years with anchor projects, including the King Salman International Complex for Maritime Industries and Service in Ras Al Khair which will generate in the region of 30,000 direct and 50,000 indirect jobs.
The MOUs and commercial collaborations signed are:
-MOU with Total to launch engineering studies to build petrochemical complex in Jubail, KSA
-MOU with Total regarding the potential establishment of a retail service station network
-MOU with Hyundai Heavy Industries regarding potential HHI investments in King Salman International Maritime Complex for Industries and Services at Ras Al Khair
-MOU with Baker Hughes GE
-MOU with Schlumberger
-MOU with Halliburton
-MOU with OilfieldSupplyCenter
-MOU with Flex-Steel to invest in RTP reinforced thermoplastic pipe facility
-MOU with NPCC (National Petroleum Construction Company, UAE) to invest in a fully integrated fabrication yard and marine base
-MOU with SeAH Changwon Integrated Specialty Steel Co. Limited to invest in localisation of engineering steel
-MOU with GumPro (India) to invest in drilling chemicals facility
-MOU with Acwa Power (KSA) and Air Product (USA) regarding the Jazan Refinery gasification power project
-MOU with Sumitomo (Japan) regarding potential investments to upgrading PetroRabigh Refinery
-MOU with Norinco (China) regarding potential investments in refining and chemicals projects
-MOU with NOV (USA) to invest in manufacturing and repair of onshore rigs and equipment
