Italian oilfield services company Saipem has signed a framework agreement, long term agreement (LTA) with Saudi Aramco pertaining to onshore engineering and construction activities in Saudi Arabia.

The LTA, which has a duration of 12 years, involves efficiency activities to be carried out on existing facilities. It is part of the larger long-term plan of Saudi Aramco to update its facilities in the Eastern Province.

The program aims at optimizing consumption and reduction of CO2 and H2S emissions among others.

The framework agreement covers possible interventions on upstream and downstream facilities located at Wasit, Khursaniyah, Abu-Ali, Jubail, Uthmaniyah, Hawiyah, Qatif, Abqaiq, Berri, Ras Tanura, Shedgum, Haradh, Khurais, and Ghawar.

Saipem secures Saudi Aramco contract for onshore activities. Photo courtesy of Saipem.

Saipem and Saudi Aramco have been collaborating for many years on onshore as well as offshore facilities and infrastructure. The companies are already yengaged under an equivalent LTA for offshore activities in Saudi Arabia, which was extended in 2015.

Additionally, the Italian oilfield services company is presently working with the Saudi Arabian national oil company on drilling activities, with its onshore and offshore rigs.

Maurizio Coratella – Saipem COO of the E&C Onshore Division said: “This new agreement with Saudi Aramco, among our major clients and one of the most active players in the energy sector, strengthens a longstanding relationship and confirms Saipem’s strategic positioning in the Middle East under a medium-long term perspective.

“It underscores the confidence and appreciation for the high quality of our services and expertise. In particular, the agreement consolidates Saipem’s leadership as a company committed to providing bespoke cutting-edge technological solutions to a strategic client”.

Apart from Saipem, seven other companies were awarded by Saudi Aramco for its oil and gas brownfield projects.

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