Saudi Aramco to splash $18 billion on Marjan, Berri offshore fields

Saudi oil giant Saudi Aramco has said it has awarded $18 billion worth of contracts for the engineering, procurement, and construction to boost production from the Marjan and Berri offshore fields.

Saudi oil giant Saudi Aramco has said it has awarded billion worth of contracts for the engineering, procurement and construction of the Marjan and Berri field increment programs.

Saudi Aramco said that fifty percent of the contracts “are being awarded to Saudi Arabian companies, increasing the share of locally sourced materials.”

The $18 billion amount is spread across 34 contracts, however, Saudi Aramco did not provide the identity of the contractors winning the contracts in its statement on Tuesday, however, the company shared a photo with a press release which shows the names of Saipem, Subsea 7, Hyundai, McDermott, and others in the background (see above). More on the specific awards is expected to be known in the coming days.

Overall, Saudi Aramco plans to boost production capacity by 550,000 barrels per day of Arabian Crude Oil and 2.5 BSCFD of gas from Marjan and Berri offshore oilfields.

“These two programs will significantly enhance Saudi Aramco’s oil production and gas processing capabilities, both strengthening our position as the leading integrated energy supplier and meeting growing long-term demand for petroleum,” said Amin H. Nasser, president and CEO of Saudi Aramco.

“These investments will support our continued focus on employing best-in-class technologies, well completion, and reservoir management practices. It will enable Saudi Aramco to further reduce the carbon intensity of our crude oils, supporting our strategy of reducing emissions while providing energy to those who need it.”

According to Saudi Aramco, more than 90 companies and institutions were invited to bid on the packages, and 16 Saudi and international companies were chosen in the fields of engineering, supply and construction.

The projects are expected to create thousands of direct and indirect jobs, supporting Saudi Aramco’s efforts to localize and create new job opportunities, Saudi Aramco said.

The Marjan program is an integrated development project for oil, associated gas, non-associated gas and cap gas from the Marjan offshore field. This development program includes a new offshore gas oil separation plant, and 24 offshore oil, gas and water injection platforms.

Saudi Aramco also plans to expand its Tanajib onshore oil facilities and construct a new gas plant, to include gas treatment and processing, NGL recovery and fractionation, and gas compression facilities. A cogeneration facility will be developed, in addition to a water desalination facility and new transfer pipelines.

The offshore oilfield development project aims to increase the Marjan Field production by 300 MBCD of Arabian Medium Crude Oil, process 2.5 BSCFD of gas, and produce an additional 360 MBCD of C2+NGL.

Berri plan

As for the Berri program, Saudi Aramco plans to add 250,000 barrels of Arabian Light Crude per day from the offshore oilfield.

The planned facilities will, upon completion, include a new gas oil separation plant in Abu Ali Island to process 500,000 barrels of Arabian Light Crude Oil per day, and additional gas processing facilities at the Khursaniyah gas plant to process 40,000 barrels of associated hydrocarbon condensate.

The program includes a new water injection facility, two drilling islands, 11 oil and water offshore platforms and 9 onshore oil production and water supply drill sites, Saudi Aramco said.

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