Business / #ForbesBusiness

April 19, 2018,   9:33 AM

Saudi Aramco Awards Wasit Gas Plant Installation Contract To SNC-Lavlin

Mary Sophia


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Saudi Aramco has awarded a contract to install additional facilities for a major gas processing plant to infrastructure firm SNC-Lavlin.

The deal value was not disclosed but SNC-Lavlin said that it was a “multi-million dollar contract”.

Under the scope of the work, SNC-Lavlin will construct the Arabiah Condensate Handling Facility and Sour Water Disposal Unit Project at the Wasit Gas Plant in Saudi Arabia, including the installation of process equipment as well as related civil and structural, piping, electrical and instrumentation and control systems.

Work is already underway with a target completion date of late 2019.

Wasit Gas Plant is one of the largest gas plants to come onstream in Saudi Arabia. The facility is expected to help the Kingdom meet its increasing domestic energy demand.

The Montreal-based firm has had a significant project pipeline in Saudi. The firm said last year that it had won a contract for engineering and project management services in Saudi Aramco’s existing facilities in Abu Ali and Khursaniyah.

SNC-Lavlin also won a five-year extension on its General Engineering Services Plus contract with Aramco. The company said that it had three one-year options to extend it.

The Middle East and North Africa’s electricity sector is estimated to require around $260 billion in investments over the next five years in order to meet the demand, a report from Arab Petroleum Investment Corporation shows.

The kingdom will be the biggest investor in power generation in the region as it looks to address its burgeoning energy needs. The report said that the world’s largest oil exporter would need to invest $21 billion to increase its power capacity to 92 gigawatts.

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