Name of Client : Saudi Arabian Oil Company (Aramco)

Estimated Budget : $500,000,000

Revised Budget : $1,700,000,000

Contract Value : $1,700,000,000

Facility Type : Offsites/ Utilities

Sector : Gas/ Industrial

Main Contractor : Hyundai Engineering/ Hyundai Engineering & Construction

Location : Al Jafurah, Saudi Arabia

Award Date : 2021-Q4

Background

The utilities and interconnecting facilities package are part of the Jafurah gas field development that will process up to 1.1 billion cubic feet per day (Bcfd) of unconventional (shale) raw gas from nearby areas, producing sales gas, ethane, natural gas liquids and condensate. The Jafurah gas plant is expected to be a key element of Aramco's long-term strategy to boost its unconventional gas production to 3 Bcfd during the next decade.

Project Status

As of April 2024, the construction of the project is proceeding smoothly. Additionally, on January 2024 Hyundai Engineering & Construction's construction work is progressing accordingly. Al Jaber Heavy Lift and Transport (AJHL) is contracted for installation work of the project's heavy mechanical equipment.

Project Scope

The scope of the utility package involves inlet and export facilities, interconnecting pipe racks, Sulphur recovery units, flare systems, pipeline installation, and several other related infrastructures.

Project Finance

Saudi Aramco is the project client. The consortium of Hyundai Engineering Company and Hyundai Engineering and Construction Company has secured the $1.7 billion EPC contact. Hyundai Engineering holds a 55 per cent stake in the project, with Hyundai E&C taking the remaining 45 per cent.

Project Schedules

Project Announced: 1Q-2019

EPC ITB: 1Q-2020

On Hold: 4Q-2020

EPC ITB: 3Q-2021

EP: 4Q-2021

Construction: 4Q-2022

Completion: 1Q-2025