Announcement on a new contracting strategy for Aramco’s oil and gas brownfield and plant upgrade projects has been made on November 18, 2020.

The strategy focuses on establishing new businesses and developing partnerships based on sustainability and new technologies via Aramco’s giant projects by awarding long-term contracts to reputable and experienced contractors to improve cost efficiency and the quality and safety of the projects.

The scope of these Long-Term Agreements (LTAs) includes engineering, procurement, construction, start-up and pre-commissioning of each project, as well as the installation of the upgraded facilities in the designated operating areas. They are for a six-year base period and extendable for an additional six years. They will support the growth in the local business community and help developing strong and sustainable domestic Engineering Procurement Construction (EPC) entities for the longer term. Each LTA will support growth in employment and the development of the workforce in Saudi Arabia.

Contractors’ companies were invited to submit their proposals, following Aramco’s approval of the new contracting strategy. After evaluation, eight companies have been selected to carry out the work.