OREANDA-NEWS. Saipem has been awarded by Saudi Aramco three contracts in Saudi Arabia for onshore engineering and construction activities.

Two EPC contracts relevant to the Jazan Integrated Gasification Combined Cycle project are to be located near the city of Jizan, in southwestern Saudi Arabia.

Package 1 contract comprises the Gasification Unit, the Soot/Ash Removal Unit, the Acid Gas Removal and the Hydrogen Recovery Units. Package 2 contract includes six Sulphur Recovery Unit (SRU) Trains and relevant Storage Facilities.

The scopes of work of both packages include engineering, procurement, construction, pre-commissioning, assistance to commissioning and performance tests of the concerned facilities. These two packages are part of the current Saudi Aramco development of the largest gasifier-based power facility built in the world, adjacent to its new Jazan Refinery & Terminal project. The power plant will be based on gasification technology and the primary feedstock to the power plant will be the vacuum residue produced in the refinery as well as high sulfur fuel oil. The power plant will serve the refinery power needs and export a large amount of power to the national grid.

As part of the Jazan Economic City, Saudi Aramco’s Jazan Refinery and Terminal Project is part of its strategic intent to facilitate a diversified and sustainable expansion of Saudi Arabia’s economy and enable a globally competitive and vibrant Saudi energy sector. The Jazan Refinery and Terminal Project itself will provide more than 1,000 direct jobs in addition to 4,000 indirect jobs.

Furthermore, Saudi Aramco has awarded to Saipem an EPC contract for the Loops 4 & 5 of the Shedgum-Yanbu’ Gas Pipeline, linking Shedgum to Yanbu’.

The scope of work of this third contract includes detailed design, engineering, procurement, installation, commissioning and start up assistance for two pipelines, which will be completed in the second half of 2017.