Baker Hughes GE Lands Major Saudi Contract
State producer Saudi Aramco has awarded Baker Hughes GE (BHGE) a $175mn contract to boost gas production at its major Haradh and Hawiyah fields. BHGE will supply 27 gas compression trains for the extraction of gas to feed the fields’ existing gas plants for enhanced processing and operational efficiency, it said September 5.
Part of the world's largest oilfield Al-Ghawar, Aramco's Haradh and Hawiyah gas fields play a key role in leveraging its gas resources, complementing Saudi Aramco’s plans to double gas production to 23bn ft³/day (296bn m3/yr) in the next decade. This is also in line with the Kingdom’s goal to increase the contribution of gas from 50% to 70% of the overall energy mix, the highest among the G20 countries.
BHGE said several Saudi-based suppliers would benefit from the contract, as they work together to deliver the equipment order, "contributing to increased localisation and technology transfer. This in turn supports a Saudi-based small and medium enterprises (SME) supply chain that will boost the economy."
The gas compression trains are manufactured in Italy and packaged in Saudi Arabia, where some of the testing and assembly will also be done.
In recent months, Turkish contractor Tekfen signed a $590mn contract to build satellite gas compression plants and pipelines at the Haradh gas field, while Italy's Saipem also landed a contract. Last year Spain's Tecnicas Reunidas too secured a contract. Together they form part of Aramco's $4.5bn scheme to produce an extra 1.3bn ft³/d (13.5bn m3/yr) from Haradh and Hawiyah over the next 20 years.