McDermott breaks ground on new Saudi fabrication yard

US-based McDermott International broke ground on a key fabrication yard in King Salman International Complex for Maritime Industries and Services in Ras Al-Khair, in line with the country’s In-Kingdom Total Value Add (IKTVA) localization program.

The new facility will be spread across 1.2 million square meters and will fabricate platforms and modules for both offshore and onshore projects for Saudi Aramco and other customers in the region, it said in a statement.

The facility will incorporate up to 80,000 square meters of covered shops to house the latest automation technology and include a 580-meter reinforced bulkhead providing marine access.

McDermott is a key member of Saudi Aramco’s long term agreement (LTA) with international offshore contractors and is handling multiple offshore maintenance and greenfield projects within the Kingdom.

“Aramco has moved a step closer to the complex acting as a hub for job creation and supply chain development in accordance with Saudi Vision 2030 objectives,” said Mohammad Al Assaf, vice president of new business development, Aramco.

The company is the first engineering, procurement and construction contractor to establish a full-scale fabrication facility in Saudi Arabia, Linh Austin, Senior Vice President, Middle East and North Africa, McDermott, added.

In March 2019, Saudi Aramco signed a land lease agreement with McDermott granting it a lease to establish the fabrication facility.