Related Articles

• 
  Marafiq and Doosan Enerbility agree plant fuel conversion deal

  2 May 2025

  Saudi Arabia’s state-owned utility company, Power & Utility Company for Jubail & Yanbu (Marafiq), has signed a contract with South Korea’s Doosan Enerbility to convert an oil-fired power plant in Yanbu into a gas-fired power plant.

  The fuel conversion contract for Yanbu 2 is valued at KRW180bn ($129m), the South Korean firm said.

  The project is expected to reduce carbon emissions by 25% while maintaining the same generation capacity.

  Jamal Abdulrahman Omar, vice president of operations and maintenance at Marafiq, and Seungwoo Sohn, CEO of Doosan Enerbility’s power services business group, witnessed the contract signing ceremony in Jubail on 27 April.

  Doosan Enerbility will supply the main equipment, including the combustor and distributed control system, and undertake the plant’s commissioning process by 2028.

  The Yanbu 2 power plant, which was built in 2013 within the Yanbu Industrial Complex, approximately 350 kilometres north of Jeddah, has a capacity of 1,375MW.

  Doosan Enerbility supplied the main components, including the boiler and steam turbine.

  Saudi Arabia is expected to place 1.4GW-worth of new orders for fuel conversion projects in Saudi Arabia during the years up to 2027, the South Korean engineering, procurement and construction (EPC) contractor said.

  In addition to Saudi Arabia, Doosan Enerbility has undertaken several fuel conversion projects in other countries, including Chile and Vietnam.

  ---

  READ THE MAY 2025 MEED BUSINESS REVIEW – clck here to view PDF

  Gulf hunkers down as US tariffs let fly; Abu Dhabi looks to secure its long-term economic prosperity; Nesma stays on top as China State moves up in 2025 GCC contractor ranking

  Distributed to senior decision-makers in the region and around the world, the May 2025 edition of MEED Business Review includes:

  > AGENDA 1: GCC shelters from the trade wars > AGENDA 2: Gulf markets slide as US tariff shockwaves hit > AGENDA 3:  Lower oil prices raise Gulf’s fiscal pressure > SYRIA: Syria makes progress towards reunification > GCC CONTRACTORS: Contractors take on more work in 2025 > MINERALS: Saudi Arabia and Oman open up their minerals potential > INTERVIEW: CCED seeks growth in Oman’s hydrocarbons sector > INTERVIEW: Roshn outlines its procurement strategy > LEADERSHIP: Rethinking investments for a lower-carbon future > UAE REPORT: UAE is poised to weather the storm  > GULF PROJECTS INDEX: Gulf projects index inches upwards > CONTRACT AWARDS: Region records $70.3bn of deal signings in Q1 2025 > ECONOMIC DATA: Data drives regional projects > OPINION: Trump’s new world order

  To see previous issues of MEED Business Review, please click here

  https://image.digitalinsightresearch.in/uploads/NewsArticle/13803822/main.jpg

  Jennifer Aguinaldo
• 
  Chinese firm signs Mubarak port early contractor involvement

  2 May 2025

  Beijing-headquartered China Harbour Engineering Company, a subsidiary of China Communications Construction Company (CCCC), has signed an early contractor involvement (ECI) agreement with Kuwait to develop the next phases of Kuwait’s Grand Mubarak Port.

  According to local media reports, the initial works cover surveying, investigation, hydrological observation, geophysical exploration, testing, model testing, process simulation, design review, owner inspection, preliminary design of sand retaining embankments and on-site services and management.

  The project launch ceremony was held in mid-April and was attended by several high-profile representatives from Kuwait and China, including Fu Xuyin, China’s vice-minister of the Ministry of Transport, Zhang Jianwei, the Chinese ambassador to Kuwait, and Nora Mohammad Al-Mashaan, Kuwait’s minister of public works.

  In January, MEED reported that Kuwait’s cabinet had approved a bid from China Communications Construction Company to implement all stages of its Mubarak Al-Kabeer Port project.

  The country ramped up its efforts on the project after meetings between Kuwaiti and Chinese officials in June last year.

  In 2023, the two countries signed a memorandum of understanding for developing infrastructure works for the port.

  Phase one of the project cost $1.2bn and was completed in 2014.

  The project’s first phase included site levelling and the development of a marina, quay walls, berths, a navigational terminal and port buildings.

  The port is not operational because the phase one works did not include vital equipment such as cranes.

  It is understood that the completion of phase two will allow the port to start operations.

  The full scope for phase two of the project is expected to include:

  • Construction of loading and unloading facilities
  • Construction of quay walls and reclamation
  • Construction of container yard and back of the port
  • Infrastructure works
  • Construction of buildings
  • Construction of container terminal
  • Construction of associated facilities
  • Installation of safety and security systems

  A third phase is also planned, which will further expand the port.

  The latest developments follow a series of agreements signed in September 2023 to deliver some of Kuwait’s immediate development goals between 2024 and 2028. These agreements will position Chinese companies to play a leading role in the Fourth Kuwait Master Plan 2040.

  ---

  READ THE MAY 2025 MEED BUSINESS REVIEW – clck here to view PDF

  Gulf hunkers down as US tariffs let fly; Abu Dhabi looks to secure its long-term economic prosperity; Nesma stays on top as China State moves up in 2025 GCC contractor ranking

  Distributed to senior decision-makers in the region and around the world, the May 2025 edition of MEED Business Review includes:

  > AGENDA 1: GCC shelters from the trade wars > AGENDA 2: Gulf markets slide as US tariff shockwaves hit > AGENDA 3:  Lower oil prices raise Gulf’s fiscal pressure > SYRIA: Syria makes progress towards reunification > GCC CONTRACTORS: Contractors take on more work in 2025 > MINERALS: Saudi Arabia and Oman open up their minerals potential > INTERVIEW: CCED seeks growth in Oman’s hydrocarbons sector > INTERVIEW: Roshn outlines its procurement strategy > LEADERSHIP: Rethinking investments for a lower-carbon future > UAE REPORT: UAE is poised to weather the storm  > GULF PROJECTS INDEX: Gulf projects index inches upwards > CONTRACT AWARDS: Region records $70.3bn of deal signings in Q1 2025 > ECONOMIC DATA: Data drives regional projects > OPINION: Trump’s new world order

  To see previous issues of MEED Business Review, please click here

  https://image.digitalinsightresearch.in/uploads/NewsArticle/13804067/main.jpg

  Yasir Iqbal
• 
  Aramco receives bids for three offshore tenders

  2 May 2025

  

  Saudi Aramco has received bids from contractors in its Long-Term Agreement (LTA) pool of offshore service providers for three tenders related to the engineering, procurement, construction and installation (EPCI) of structures at several offshore oil and gas fields.

  The four tenders are numbers 158, 159 and 160 on Aramco’s Contracts Release and Purchase Order (CRPO) system.

  Offshore LTA contractors submitted bids for these CRPOs by the deadline of 27 April, sources told MEED.

  The Saudi energy giant issued CRPOs 158, 159 and 160 to its offshore LTA contractors in late November and set an initial bid submission deadline of 15 January. The bid submission deadline was extended several times, to 26 January, 24 February, 19 March, 13 April and 20 April.

  The scope of work on CRPO 158 covers the EPCI of 11 jackets at several offshore fields, including Abu Safah, Berri and Manifa. Aramco has stipulated that three of the jackets must be fabricated in the kingdom.

  CRPO 159 involves the EPCI of three production deck modules at the Abu Safah, Berri and Manifa offshore fields.

  CRPO 160 relates to the EPCI of three more production deck modules at the Abu Safah, Berri and Manifa offshore fields.

  Aramco’s LTA pool of offshore service providers comprises the following entities:

  • Saipem (Italy)
  • McDermott International (US)
  • Larsen & Toubro Energy Hydrocarbon (LTEH, India) / Subsea7 (UK)
  • NMDC Energy (UAE)
  • Lamprell (UAE/Saudi Arabia)
  • China Offshore Oil Engineering Company (China)
  • Dynamic Industries (US)
  • Sapura Energy (Malaysia)
  • TechnipFMC (France) / MMHE (Malaysia)
  • Hyundai Heavy Industries (South Korea)

  Aramco recently renewed LTAs with the following contractors, whose contracts had either lapsed or were close to expiry:

  • Saipem
  • McDermott International
  • Larsen & Toubro Energy Hydrocarbon / Subsea7
  • NMDC Energy
  • Lamprell
  • China Offshore Oil Engineering Company

  Robust offshore spending

  In January last year, the Saudi Energy Ministry directed Aramco to abandon its campaign to expand its oil production spare capacity from 12 million barrels a day (b/d) to 13 million b/d by 2027. As a direct consequence of that government decision, Aramco cancelled the tendering process for at least 15 tenders involving the engineering, procurement, construction and installation (EPCI) of structures at offshore oil and gas fields.

  Since that decision, however, the Saudi energy giant has gone the other way, spending an estimated $5bn in 2024 on offshore EPCI contracts.

  Italian contractor Saipem was the biggest beneficiary of Aramco’s robust offshore spending, winning five of the eight CRPOs awarded last year.

  In early May, Aramco awarded Saipem the contract for CRPO 143, which involves replacing an oil line between the Berri and Manifa oil fields in the kingdom’s Gulf waters.

  Aramco then awarded Saipem the contract for CRPO 138, which involves laying a trunkline at the Abu Safah offshore field. The contract is estimated to be worth $500m.

  The Milan-listed contractor then scooped three major CRPOs in August, starting with CRPOs 132 and 139, the combined value of which is estimated to be about $1bn. In early September, Saipem began work on the two contracts, which involve the EPCI of structures to upgrade the Marjan, Zuluf and Safaniya offshore field developments.

  Just days after awarding CRPOs 132 and 139 to Saipem, Aramco awarded the Italian contractor CRPO 127, a $2bn contract that involves the EPCI of topsides and jackets for wellhead platforms, a tie-in platform jacket and topside, rigid flowlines, submarine composite cables and fibre optic cables at the Marjan oil and gas field.

  In late November, Aramco awarded three CRPOs, worth more than $500m. China Offshore Oil Engineering Company (COOEC) won CRPOs 149 and 152, which are estimated to be valued at $30m and $250m-$300m, respectively. UK-based Subsea7 secured CRPO 153, which is said to be valued at $200m-$250m.

  Offshore jobs under bidding

  Looking ahead, Aramco is in the bid evaluation and tendering stages for 11 more offshore tenders, including CRPOs 158, 159 and 160.

  MEED recently reported that Aramco had requested LTA contractors who submitted bids for CRPO 150 – which involves the installation of structures at its offshore Northern Area Oil Operations – to extend the validity of their bids until the end of June.

  Additionally, Aramco is reviewing bids it has received for four CRPOs – numbers 145, 146, 147 and 148 – that represent the further expansion of the Zuluf field development.

  Offshore LTA contractors submitted bids for these four tenders, which are estimated to be worth a total of $6bn, in December, with the contract awards due in the second quarter of this year.

  Separately, LTA contractors are preparing bids for CRPO 157, which mainly covers the EPCI of a 48-inch trunkline covering a distance of 60 kilometres at the Zuluf field development, along with dredging works onshore.

  Aramco has also sought proposals for CRPOs 154, 155 and 156, which cover the next expansion phase of the Safaniya field. Offshore LTA contractors are due to submit bids for these three tenders by 31 July.

  https://image.digitalinsightresearch.in/uploads/NewsArticle/13803814/main.jpeg

  Indrajit Sen
• 
  Five bid for Oman water sewerage project

  2 May 2025

  The Oman branch of Hassan Allam Construction submitted the lowest bid of RO24.67m ($64m) for a contract to build and supervise the construction of a sewerage network in Muscat.

  The scope includes construction supervision and the construction of the sewerage network infrastructure.

  The Al-Amerat Catchment 10 water supply, sewer system and treated effluent networks project covers the construction of a 64-kilometre gravity sewer network with inner diameters ranging from 200 millimetres (mm) to 900mm, around 2,590 gravity sewer manholes and approximately 45km of house connections and rider sewers.

  It also includes the construction of chambers, manholes, and pumping and lifting stations.

  India’s Sarooj Construction Company submitted the second-lowest bid of RO24.78m.

  The other bidders and their offers for the contract are: 

  • Target (local): RO27.9m
  • Towell Infrastructure (local): RO31.9m
  • United Gulf Construction (Kuwait): RO38.4m

  Oman intends to allocate major investments to its water treatment, reuse and distribution network in the coming years, Qais Bin Saud Al-Zakwani, CEO of Nama Water Services, told the Oman Water Week in Muscat in April.

  “We are allocating major investments for water irrigation, sewage treatment and network … and to enable small and medium enterprises (SMEs) to participate in the development of infrastructure projects,” Al-Zakwani said.

  The executive added that the sultanate is working to develop alternative water sources, including deep water dams and water desalination plants, as part of efforts to reuse and renew water resources to support Oman’s agriculture and industrial sectors.

  ---

  READ THE MAY 2025 MEED BUSINESS REVIEW – clck here to view PDF

  Gulf hunkers down as US tariffs let fly; Abu Dhabi looks to secure its long-term economic prosperity; Nesma stays on top as China State moves up in 2025 GCC contractor ranking

  Distributed to senior decision-makers in the region and around the world, the May 2025 edition of MEED Business Review includes:

  > AGENDA 1: GCC shelters from the trade wars > AGENDA 2: Gulf markets slide as US tariff shockwaves hit > AGENDA 3:  Lower oil prices raise Gulf’s fiscal pressure > SYRIA: Syria makes progress towards reunification > GCC CONTRACTORS: Contractors take on more work in 2025 > MINERALS: Saudi Arabia and Oman open up their minerals potential > INTERVIEW: CCED seeks growth in Oman’s hydrocarbons sector > INTERVIEW: Roshn outlines its procurement strategy > LEADERSHIP: Rethinking investments for a lower-carbon future > UAE REPORT: UAE is poised to weather the storm  > GULF PROJECTS INDEX: Gulf projects index inches upwards > CONTRACT AWARDS: Region records $70.3bn of deal signings in Q1 2025 > ECONOMIC DATA: Data drives regional projects > OPINION: Trump’s new world order

  To see previous issues of MEED Business Review, please click here

  https://image.digitalinsightresearch.in/uploads/NewsArticle/13803746/main.jpg

  Jennifer Aguinaldo
• 
  TotalEnergies and OQ break ground on Marsa LNG project

  2 May 2025

  France’s TotalEnergies and OQ Exploration & Production (OQEP), a subsidiary of Omani state energy conglomerate OQ Group, have broken ground on the Marsa liquefied natural gas (LNG) bunkering and export terminal project in Oman.

  The estimated $1.6bn LNG project is being built in the sultanate’s northern port city of Sohar and will have a production capacity of 1 million tonnes a year (t/y).

  TotalEnergies is the majority stakeholder in the Marsa LNG project, holding an 80% interest, with OQ Group, through OQEP, holding the remaining 20% stake.

  LNG production from the facility is expected to start in the first quarter of 2028, TotalEnergies and OQ said in a joint statement.

  The Marsa LNG project will primarily supply marine fuel to vessels such as container ships, tankers and large cruise ships, and is said to be the first marine LNG bunkering hub in the Middle East.

  Last April, TotalEnergies awarded Technip Energies the main contract to execute engineering, procurement and construction (EPC) works on the Marsa LNG project.

  US-based Chicago Bridge & Iron (CB&I) won a contract to build the main concrete LNG storage tank, which will have a capacity of 165,000 cubic metres, and to complete the associated piping upgrade. The firm described its contract as being “significant”, a term it uses to denote a value range of $100m-$250m.

  In addition to awarding the EPC contracts for the project, TotalEnergies and OQ also achieved the final investment decision on the Marsa LNG project last April. Marsa LNG was formed in December 2021 through a joint-venture agreement between the two companies.

  Marsa LNG infrastructure contracts

  Along with the groundbreaking ceremony on 1 May, Oman’s Sohar Port & Freezone, where the Marsa LNG terminal is being built, also awarded three contracts covering infrastructure and other services related to the project.

  WSP International’s Oman branch was awarded a consultancy services contract, to provide project management, back-office support, design review, site supervision and contract management services, with the contract running from November 2024 to November 2028.

  The second contract was signed with the Netherlands-headquartered Boskalis International’s Oman branch for dredging works, involving the removal of approximately 3.8 million cubic metres of material to develop the access channel, berth pocket and turning circle, with completion expected in September.

  Sohar Port & Freezone announced the start of dredging works on the Marsa LNG project in March, when Boskalis was contracted for the job.

  The third contract was awarded to Six Construct’s Oman branch, covering the construction of the LNG jetty, shore protection and drainage systems, with a duration of 16 months.

  MEED also recently reported that Technip Energies, as the main EPC contractor on the Marsa LNG project, had awarded a couple of sub-contracts to local firms.

  Sarooj Construction Company won a sub-contract for temporary construction facilities at the Marsa LNG terminal project site. Industrial Technology Services (Intecs) was sub-contracted by Technip Energies to perform civil works and construct utility buildings.

  LNG production

  The Marsa LNG facility will consist of a single processing train that will draw up to 150,000 cubic feet a day of natural gas feedstock from the Mabrouk Northeast field, located in Oman’s onshore Block 10 concession.

  TotalEnergies is part of a consortium that operates the Block 10 hydrocarbons concessions in the sultanate. Oman’s Energy & Minerals Ministry signed a concession agreement in December 2021 with a consortium led by Shell Integrated Gas Oman, the Omani subsidiary of UK-based energy major Shell, to develop and produce natural gas from Block 10.

  As part of the concession agreement, Shell operates Block 10, holding a 53.45% working interest, with OQ and Marsa LNG holding 13.36% and 33.19% stakes, respectively.

  TotalEnergies is also a 22.5% stakeholder in the Block 11 onshore concession, from which the Marsa LNG project could draw gas feedstock in the future. Shell Development Oman is the majority (67.5%) stakeholder in Block 11, for which the Omani government signed an exploration and production sharing agreement in September 2022.

  Solar-powered LNG terminal

  The Marsa LNG complex will be completely electrically driven and supplied with solar power. The project will be “one of the lowest GHG [greenhouse gas] emissions intensity LNG plants ever built worldwide”, with a GHG intensity below 3 kilogrammes of carbon dioxide per barrel of oil equivalent, the partners said in a statement.

  TotalEnergies said it is in an “advanced stage of discussions” with OQ’s renewable energy branch, OQ Alternative Energy, to jointly develop a portfolio of up to 800MW, including a 300MW solar project that will supply power to the Marsa LNG facility. The two companies will form a joint venture in which OQ Alternative Energy will own 51% stake, with TotalEnergies holding the other 49%.

  https://image.digitalinsightresearch.in/uploads/NewsArticle/13803437/main5008.jpg

  Indrajit Sen