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75 years: Saudi Arabia's Diamond Era
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Saudi Aramco Review
Maintaining pole position
Saudi Aramco maintained its world-leading conventional crude-oil
reserves, replacing 2010 production with oil from new discoveries,
expansions of existing fields and output optimisation
SAUDI Aramco, Saudi Arabia’s national oil company and the world’s top exporter of crude, plans to spend $125 billion on domestic and overseas projects over the next five years, giving a further boost to its capital programme that will see the oil major maintaining its pre-eminence in the oil and gas sector.
Mega-projects hold key to hydrocarbon supremacy
Enormous projects were the order of the day early in the company’s history, with constantly pressing needs to build new GOSPs, water-injection facilities to maintain reservoir pressure, pipelines, oil stabilisation units and export terminals
SAUDI Aramco’s reputation for successfully executing large, complex projects has resulted in an ever-increasing and varied workload being given to the company’s project management (PM) organisation. Over the last 20 years, the number, size and complexity of mega-projects being executed has continually increased.
Saudis 'must crack feedstock imbroglio'
Saudi Aramco plans to use natural gas liquids and refined products for its flagship project to expand the Rabigh II joint venture with Sumitomo Chemical
SAUDI Arabia must find competitive new feedstocks to offset a gas shortage if it is to expand its petrochemical industry as part of a drive to diversify sources of income and jobs, according to industry analysts.
Exploration drive is firmly focused
Using cutting-edge technology, Saudi Aramco’s production and exploration programme is becoming more focused on frontier and emerging areas
SAUDI Aramco increased the pace of its kingdom-wide exploration programme in 2010 to prepare for future hydrocarbon demand. These efforts yielded success, with the discovery of four new oil fields and one new gas field, increasing the total number of Saudi Aramco discovered fields to 112, plus the addition to existing fields of six new oil reservoirs and three new gas reservoirs, says the company in its annual report for 2010.
Unlocking Aramco’s human potential
Many of the most significant changes in the Accelerated Transformation Programme are intangible, and have more to do with people than plants or pipelines
SAUDI Aramco has launched its Accelerated Transformation Programme, the company’s new initiative to unlock its full human potential.
Giant Khurais field is pumping 1 mbpd
Khurais holds 27 billion barrels of reserves, but Aramco has not specified the hoped-for recovery rate. The company generally targets rates of 50-75 per cent
KHURAIS, the single largest addition to oil capacity in Saudi Aramco’s history, is now producing around 1 million barrels per day (mbpd), field production manager Yousef Al Furaidan says.
Aramco redefines the role of NOCs
Aramco believes NOCs need to extend their capabilities into business segments that create significant local jobs instead of focusing solely on capital-intensive oil projects
THE role of Opec’s national oil companies (NOCs) has evolved dramatically over the decades from that of inconsequential observers to – in some cases, at least – genuine stewards of their countries’ indigenous resources.
Plant planned with CNPC in Yunnan
Aramco is participating in oil-processing and storage projects in Asia to improve access to markets there amid the region’s increasing consumption of fuel and crude
SAUDI Aramco and China National Petroleum Corp (CNPC) agreed to build a 200,000 barrel-per-day (bpd) refinery in southern China as producers seek to meet rising fuel demand in the world’s fastest-growing economy.
Gas drive picks up
Aramco’s interest in unconventional gas is not new, but has taken on greater importance in recent years
AS SAUDI Arabia’s domestic energy needs rise relentlessly, the country is hastening plans to develop its unconventional gas resources in order to cut down on oil combustion for power generation.
Intense bidding expected for PetroRabigh expansion work
As part of the expansion, estimated to cost between $6 billion and $8 billion, partners would look to increase the capacity
of the existing ethane cracker to take in an additional 30 million cubic feet per day of feedstock ethane
SAUDI-based contractors expect fierce competition in bidding for the expansion of PetroRabigh petrochemical complex as firms strive for more work in the kingdom.
Products trading unit set for debut
Saudi Aramco Product Trading Company can expect both challenges and
opportunities when it launches operations before the end of the year
SAUDI Aramco’s move to set up a trading subsidiary for refined products is aimed at optimising its massive production system, focusing on the fuel oil and gas oil markets, traders say.
Shell ‘integrating Saudi gas venture’
Shell and Aramco are reported to be looking at ways to develop the high-cost Kidan sour gas field profitably by targeting downstream industries instead of sales to third parties
SAUDI Arabia’s huge Kidan sour gas field in the Rub Al Khali desert, currently being appraised by Royal Dutch Shell and Aramco, provides myriad challenges, starting with high development costs. But in a move that recalls the defunct Saudi Gas Initiative of the late 1990s, the two companies are looking to feed the pricey gas into integrated downstream industries – to address the kingdom’s shortage of feedstock and create job opportunities, according to a WGI (World Gas Intelligence) report.
Thirst for oil drives Saudi nuclear plans
Soaring energy consumption rates within the kingdom are forcing even oil-rich Saudi Arabia to look at alternative options such as nuclear energy
RAPID population growth, wastefulness and economic development are driving up Saudi Arabia’s thirst for energy, steadily reducing the amount of oil available for export and driving the kingdom’s interest in nuclear power.
Non-associated Karan field starts flowing gas
Following its discovery back in 2006 in Saudi territorial waters, the offshore Karan gas field is now up and running under a first phase of operations, which has seen five out of 21 wells already successfully commissioned
A NEW chapter has opened in the Aramco’s history of managing and executing mega-projects, with the start-up of the Karan offshore gas field.
Key projects to raise oil capacity make progress
Aramco’s efforts to raise oil production capacity continued apace in 2010 with significant progress achieved at Manifa and Safaniya. OGN lists the completed and ongoing projects under this programme, which was launched in 2009
SAUDI Aramco, in 2010, put finishing touches on major parts of the biggest capital programme in its history that began in 2009, raising maximum sustainable oil production by 1.7 million barrels per day (mbpd) to 12 mbpd.
Halliburton speeds up Manifa work
One of the biggest heavy oil increments ever commissioned by the industry, the Manifa field is now expected to start flowing oil by June 2013
AS OIL services company Halliburton is increasing activity on the Manifa heavy oil field project in Saudi Arabia following discussions with Saudi Aramco, an indication that the kingdom is stepping up efforts to bring on its final planned capacity increment.
Gas production goal is set at 15.5 bcfd by 2015
Saudi Aramco’s increasing focus on gas has seen the company undertake a host of projects with the aim of addressing a chronic gas shortage in the kingdom. OGN looks at the major projects being undertaken in this key sector
SAUDI Aramco is on track to reach a projected production target of 15.5 billion cubic feet per day (bcfd) of raw natural gas by 2015, according to Saad Turaiki, Aramco vice-president of southern area oil operations.
Solar energy wins Saudi attention
With year-round sunshine and huge stretches of desert, Saudi Arabia is perfectly positioned to implement solar projects which offer clean and green energy
SAUDI Arabia is making strides in the right direction on solar energy, essential for the kingdom’s energy and economic future. There are many big challenges for the kingdom in catching up to other countries on solar energy, but evidence is abundant – just like Saudi sunshine – that the kingdom is serious about solar energy.
Refining capacity to be increased
Along with programmes to ramp up hydrocarbon production, Aramco is expanding its refining and petrochemical production capacities
SAUDI Aramco is working to expand its domestic refining capacity to meet growing local and global demand for refined products while taking advantage of the close proximity of feedstock by integrating petrochemical facilities with certain refineries.
Transport and distribution operations power ahead
Aramco's extensive system of ships, trucks and pipelines delivers its products to bulk plants and terminals throughout the kingdom. From these distribution points, it safely and punctually delivers quality refined products domestically and around the globe
SAUDI Aramco’s transportation and distribution operations reached several new milestones last year, including its subsidiary Vela International Marine, which celebrated a successful quarter century of reliably distributing the company’s crude oil and products to customers around the world.
Technology takes Aramco to the top of the ladder
Over the years, Saudi Aramco has evolved into a company that not only optimises the very best established tools and processes but also one that is actively involved in developing and implementing new technologies in its operations
As the largest integrated petroleum company in the world, Saudi Aramco says its faces unique challenges that require innovative solutions for both the company and the industry.
Aramco expansion is 'good news for services sector'
Oilfield-services companies such as the US-based Weatherford International are hoping that Saudi Aramco’s ambitious expansion drive will help them offset any declines of work they might suffer in war-torn Libya
SAUDI Aramco’s plans to expand its production capacity should boost oilfield-services companies, helping to offset activity declines seen in war-torn Libya, Weatherford International chief executive Bernard Duroc-Danner says.
Ospas keeps the kingdom’s oil moving at all times
Supported by cutting-edge information technology, Aramco’s Oil Supply Planning and Scheduling Department (Ospas) has its fingers on the pulse of the world’s markets as it advises the company on how best to plan for future business
THEN the global financial crisis erupted several years ago, Saudi Aramco’s Oil Supply Planning and Scheduling (Ospas) department, immediately shifted into high gear. With money suddenly tight worldwide, Ospas managers knew that new orders for oil could likely slump, at least temporarily, and that regular customers might seek emergency delays in delivery of already scheduled shipments.
With its comprehensive portfolio, Super Technical is a market leader in engineering solutions
Established in 1973 in Dubai, Super Technical has over the years built an enviable reputation in the UAE, the Middle East and the sub-continent for being a reliable business partner, offering complete engineering products and system solutions.
IKK Group excels in specialised service
Diversified IKK Group aims to strengthen its global market position by continuing to enhance its product portfolio and capitalising on regional expansion opportunities
THE Issam Khairi Kabbani Group of Companies (IKK Group) is a diversified group of companies operating in the fields of trading, manufacturing and contracting with a strong footprint in the specialised construction sector, in particular for the oil and gas industry.
Honeywell, KFUPM tie up for petchem development
Through its subsidiary UOP, Honeywell of the US is forging even stronger links with the kingdom of Saudi Arabia and the rest of the region through initiatives that include an aromatics research venture and a new office
HONEYWELL says its subsidiary UOP has entered into a collaboration with Saudi-based King Fahd University of Petroleum and Minerals (KFUPM) for the development of catalytic processes for petrochemicals production.
Boosting HR potential
Saudi Aramco pays great attention to HR development, described as its most valuable resource
SPOTLIGHTING the longstanding and critical importance that Saudi Aramco places on human resource (HR) development, the company in 2010 inaugurated three major HR complexes: the Upstream Professional Development Centre and the Human Resource Service Centre, in Dhahran, and the Leadership Centre in Ras Tanura.
Aramco has set up a new centre in Dhahran to train employees on the intricacies of upstream operations
A NEW building has changed the Dhahran core area skyline. The highly anticipated Upstream Professional Development Centre (UPDC) state-of-the-art facility will soon open its doors to house an updated integrated training programme for upstream operations employees.
Schlumberger celebrates five glorious years of SDCR
The world's largest oilfield services company has, over the last five years, been Saudi Aramco’s technology partner focusing on improving carbonate reservoir characterisation, carbonate matrix acidisation and recovery
SCHLUMBERGER and Saudi Aramco have celebrated the fifth anniversary of the Dhahran Carbonate Research Centre and the official opening of the WesternGeco Geosolutions Centre.
AKBMC sets new goals
The company has succeeded in consolidating its position as the leading supplier of concrete in Saudi Arabia
FOLLOWING the successful conclusion of its five-year plan launched in 2006, Al Kifah Building Materials Company (AKBMC) is embarking on the next phase of its growth strategy, which aims to position the leading concrete specialist firmly on the path towards global expansion.
Exova perfects the technique of full ring corrosion testing
As more sour gas fields are developed across the world, there is an increasing demand to test the pipeline materials used in these corrosive environments and Exova’s FRT is considered the most appropriate method for this critical task
EXOVA, the foremost independent materials testing laboratory in the region, believes in building partnerships by listening to its client base and exceeding their expectations.
Arabian Drilling Company can tackle the toughest tasks
Through its strong focus on quality and customer satisfaction, Arabian Drilling Company has emerged as one of the foremost operators of its kind in the region
FROM a modest beginning in 1964, Saudi-based Arabian Drilling Company (ADC) has grown and positioned itself as one of the largest drilling contractors in the region and beyond, by identifying and responding to client requirements and the changing trends in the oilfield industry.
Darvico boosts capacity on growth prospects
A joint venture between Al Rushaid Petroleum Investment Company and Dresser(GE Group), valves and process instruments specialist Darvico has been involved with several of Saudi Aramco’s major projects
DRESSER Al Rushaid Valve and Instrument Company (Darvico), one of the prominent manufacturers of valves and process instruments in Saudi Arabia, has increased its production and repairing capacity, to make and test more than 15,000 safety relief valves and 9,000 control valves annually.
GTSC offers world-class training
Based in the UAE, Gulf Technical and Safety Training Centre distinguishes itself from the competition with an array of hands-on and competency-based courses
UAE-BASED Gulf Technical and Safety Training Centre (GTSC) is recognised as a world-class training provider with a broad spectrum of activities including health, safety and environment (HSE) training, fire-fighting, offshore survival, road safety and various short-term and long-term technical courses.
A better way to design a plant
SmartPlant 3D, the most advanced plant design software from Intergraph, breaks through the constraints imposed by traditional design technology
TODAY's global, fast-track projects require engineering, procurement, and construction (EPC) contractors to successfully manage and perform projects involving concurrent participation of multiple design centres worldwide, while still keeping a handle on project schedule and costs.
Rental Solutions and Services powering ahead across region
Known for attributes such as reliability, cost efficiency and innovative cooling solutions, Rental Solutions and Services (RSS) has over the years achieved rental breakthrough records helping it in turn to build its brand name as the global leader in rental cooling solutions
RENTAL Solutions & Services (RSS), a global provider of rental power, temporary cooling and mobile water solutions, is an active player in Saudi Arabia and the rest of the Gulf region.
Bohler Welding’s industry expertise is unrivalled
Bernd Hoberg and Jurgen Wandke of Bohler Welding Group outline various observations and insights in connection with the selection of metallic alloys for welding applications in the specialised oil and gas industry
IN corrosive environments such those typical for oil and gas applications, a specific level of corrosion resistance against both highly localised and uniform corrosion is necessary.
Zamil Offshore plans modern shipyard
The Saudi Arabian offshore player is rising to challenges with an aggressive expansion plan that includes building a modern shipyard of over 200,000 sq m
ZAMIL Offshore, one of the Middle East’s leading players in the offshore industry, is capitalising on the growth in the market on account of the current expansion in marine fleet, shipbuilding and offshore engineering and construction services.
Saad M Alyan offers quality instrumentation
With top-of-the-line products, Saudi-based trader aims to become a supplier of choice
SAAD M Alyan Est is one of the leading traders of high-quality instrumentation products and calibration equipment in Saudi Arabia.
Endress+Hauser widens its wireless portfolio with WirelessHart
Besides providing ease and convenience, wireless sensor networks – as against standard analogue – also optimise business processes and save cabling costs
WIRELESS technologies are more or less used everywhere. Mobile phones, walkie-talkies, WLAN (wirelesss local area) networks, TV remote controls, garage door openers. Many of these have made life easier and more comfortable – but a lot of them also optimise business processes.
Business booms as Delmon conquers new frontiers
Saudi Arabia’s leading manufacturing, mineral and chemical processing, trading and marketing conglomerate has recorded
a 30 per cent increase in exports this year by tapping new markets like Singapore, China, India, Sudan and Egypt
DELMON Group, a leading manufacturing, mineral and chemical processing, trading and marketing conglomerate in the Arabian Gulf, is aiming to increase its business by 20 per cent in the coming year.
Acquisition boost for Saudicranes
Konecranes’ takeover will further help the local crane manufacturer
strengthen its leadership position in the market
SAUDI Cranes and Steel Works Factory (Saudicranes) is a reputed and leading company engaged in the manufacture of cranes in Saudi Arabia. Saudicranes, located in progressive Eastern Region’s Jubail Industrial City, is equipped with all the required manufacturing facilities is backed up by a team of qualified engineering professionals with modern technical expertise. Saudicranes’ core business is design, manufacturing, modification, refurbishment, maintenance and supply of various types of industrial crane equipment.
ALS Arabia aims to be premier lab provider
The company is committed to setting new standards in the testing, inspection and certification market
ALS Arabia is a member of the globally recognised ALS Group – an industry leader in the provision of inspection and analytical services. ALS Arabia is a joint venture between the ALS Group and the National Laboratory Company (Ma’amel), which established its operations in 2009. The business provides analytical testing services to Saudi Arabia and other GCC states.
NPC meets regional demand for large steel pipes
Based in Al Khobar, the manufacturer’s clients include Saudi Aramco and SWCC
NATIONAL Pipe Company Limited (NPC), located in Al Khobar, Saudi Arabia, is a leading manufacturer of large diameter steel pipes. Established in 1978, NPC manufactures steel pipes for various applications such as the transmission of oil, natural gas and water, and structural use.
Making customers successful is Linde’s winning formula
With the Middle East, India and China emerging as new important growth markets, Linde, the globally active plant construction company has been prompted to relook at its traditional customer structure and strengthen its activities in the region significantly
WHEN Linde took part in the Saudi Arabia International Oil and Gas Exhibition in 2008, Saudi Aramco published a declaration of intent to invest over $100 billion in the transportation of gas and oil, gas plants, refining and petro-chemical systems over the following five years. Not least as a result of this announcement, Linde decided to strengthen its activities in the region significantly in order to meet the needs in the booming market.
Arab Engineers striving to deliver its service promise
As the sole Saudi representative of RS Components, the world’s largest distributor of electronics and maintenance products,
the company delivers outstanding customer service and technical support with flexibility and reliability
ARAB Engineers is the sole distributor of the multi-awarded RS Components in Saudi Arabia. Trusted by over 1.6 million customers worldwide, the electro components group with RS Components as the holding company, is the world’s largest distributor of electronics and maintenance products.
KIB is a significant provider of logistics services
Team goes all out to provide companies with reliable, efficient and cost-saving logistics solutions
COUNCIL Logistics Management (1991) defines that logistics is ‘part of the supply chain process that plans, implements, and controls the efficient, effective forward and reverse flow and storage of goods, services, and related information between the point of origin and the point of consumption in order to meet customers’ requirements’.
Mepec poised to come up with innovative solutions
The conference and exhibition will take off in Bahrain on October 23. It will look at process industry in the region
THE first Middle East Process Engineering Conference and Exhibition (Mepec) 2011, will be held under the patronage of Dr Abdul-Hussain bin Ali Mirza, Minister of Energy, Kingdom of Bahrain, at the Gulf International Convention Centre (Gulf Hotel), from October 23 to 26 this year.
AFI aiming to forge long-term relationships with majors
The Saudi-based firm, one of the largest and most diverse industrial companies in the Arabian Gulf, has had a long-standing tie-up
with Saudi Aramco, being the oil major's trusted supplier of quality industrial devices and equipment over the years
SET up in 1984 in Dammam, Alaa for Industry (AFI), an ISO 9000 company, is now one of the major business houses in the Arabian Gulf.
IES brings global expertise to Saudi exhibitions
With a broad portfolio of trade exhibitions representing key industry sectors including oil and gas, IES caters to diverse market needs and its shows have become an established feature in Saudi Arabia’s events calendar
IES has gained a reputation for organising high quality international trade events since 1982 in established, as well as the world’s new emerging market economies. It also provides a wide range of expertise and exhibition backup resources.
OTN multi-service networks are reliable and secure
Whether it’s an installation in the desert or on offshore platforms and in other harsh environments, OTN Systems has developed specific networking solutions for all types of oil and gas installations
OIL and gas installations have specific networking requirements. To fully support these demanding applications, OTN Systems has developed dedicated networking solutions with an extremely high level of reliability and security.
Almajdouie sets new record with world’s largest tanks
A Saudi specialist in lifting heavy cargoes, Almajdouie Heavy Lift Transport and Engineering (MHL) is setting new records on a contract to transport the world largest bullet tanks over distances of 130 km to a project in Jubail Industrial City
ALMAJDOUIE Heavy Lift Transport and Engineering (MHL), part of the Saudi-Arabia’s Almajdouie Group, has successfully transported the world’s largest bullet tanks over daunting distances for a project in Saudi Arabia.
Compabloc heat exchanger optimises energy use
At a time when refineries are emphasising on improving capacity and reducing energy consumption and environmental impact, welded compact heat exchangers such as Compabloc are being pitched as a reliable alternative to traditional shell and tubes
MANY processes in oil refineries are facing heavy problems with fouling and corrosion as well as problems related to the thermal efficiency of heat exchangers. On many processes, thermal efficiency affects the sizes of the heat exchangers, with a negative impact on installation, layout definition, and maintenance costs.