Saudi Aramco, the national natural-gas and petroleum company for the Kingdom of Saudi Arabia, has a memorandum of understanding with General Electric Co. (IW500/6) and Cividale SpA to build a “first of its kind, high-end” forging and casting complex at Ras Al-Khair, with production to start by 2020. The $400-million project seeks to supply critical finished parts to energy and maritime manufacturing interests in the Middle East and North Africa.
“The MoU reflects our ambition to create a robust supply chain that builds positive synergies in the oil-and-gas manufacturing sector,” according to Abdallah I. Al-Saadan, SVP - Finance, Strategy and Development for Saudi Aramco.
The partners’ respective investment stakes and their roles in the eventual operation were not provided.
Described by Aramco only in general terms, the "Forging and Casting Manufacturing Facility" is said to complement several other Aramco projects, including one focused on building and servicing offshore platforms, jack-up rigs, offshore service vessels, and commercial tankers.