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US-based oilfield services provider, National Oilwell Varco (NOV), has launched its first industrial facility in Saudi Arabia to manufacture non-metal pipes.
The opening ceremony of the new industrial facility was attended by Saudi Aramco President and CEO, Amin Al-Nasser, the oil giant said in a statement on Tuesday.
“Saudi Aramco's projects offer an opportunity for a wide network of commercial and industrial partnerships with national and international investors and institutions such as NOV, which has more than 150 years of experience in technology and industrial equipment used in the energy sector,” Ahmed Abdulrahman Al Saadi, senior vice president for Technical Services at Saudi Aramco, said.
In 2018, the world’s largest exporter of oil had used around 2,600 kilometers of non-metal pipes in its petrochemicals facilities.
NOV’s new plant, located in the third industrial city and expected to be larger than its US factory, will manufacture non-metal pipes, made from oil and chemicals.
“The new industrial facility will help attract advanced technologies in the field of drilling to the Kingdom, and will provide a great opportunity for high-quality exports. The project is expected to achieve 90 percent Saudization,” Mohammed Al-Qahtani, Saudi Aramco’s senior vice president for Upstream, said.
NOV had previously invested in manufacturing facilities and drilling projects in the second industrial city in Dammam.
In June 2018, Saudi Aramco and NOV announced the signing of the shareholder agreement to form a joint venture partnership to establish an integrated onshore rig and equipment manufacturing and aftermarket facility in Ras Al-Khair in Saudi Arabia. Per the shareholder agreement, Saudi Aramco owns 30 percent of the joint venture’s shares, while NOV owns the remaining 70 percent.
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