Saudi Aramco, Baker Hughes ink deal for $110 mln non-metallic JV

24/02/2020 Argaam

 

Saudi Aramco signed an agreement with Baker Hughes to set up a 50:50 non-metallic joint venture (NM JV) with total investments of $110 million (SAR 412.5 million), the giant oil producer said in a statement to Argaam.

 

A memorandum of understanding (MoU) was signed by both parties for this JV on July 1, 2019.

 

The new facility will be located at the King Salman Energy Park (SPARK), and will serve the MENA region.

 

The JV will be a multi-sectorial non-metallic investment platform designed to innovate, develop and manufacture composite materials for both oil and gas as well as non-oil and gas applications.

 

It will use polymer materials and state-of-the-art manufacturing processes to deliver transformational non-metallic products, starting with Reinforced Thermoplastic Pipes (RTP).

 

Saudi Aramco’s participation in the joint venture comes in line with its strategy to support research and development, and deploy lower carbon intensity applications and products that are derived from oil.

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