Font Size

- Aa +

Tue 28 Jan 2020 02:13 PM

Font Size

- Aa +

Samsung signs $1.85bn deal for Saudi Aramco gas project

Samsung Engineering says Hawiyah Unayzah Gas Reservoir Storage project set to be completed in 2023

Samsung signs $1.85bn deal for Saudi Aramco gas project
(Photo for illustrative purposes only)

Samsung Engineering, the engineering, procurement, construction and project management company, announced on Tuesday that it has signed a $1.85 billion contract in Saudi Arabia.

The Aramco HUGRS (Hawiyah Unayzah Gas Reservoir Storage) project is located 260km east of Saudi Arabia's capital Riyadh, and includes gas injection facility of 1,500 million standard cubic feet per day (MMSCFD) and a gas reprocessing facility of 2,000 MMSCFD.

Samsung Engineering previously received a letter of intent and also signed a contract for initial work in November.

A statement said it is a project to introduce surplus sales gas into existing well during winter and can reproduce gas to match increase in gas demand in the summer, due to regional characteristics.

Samsung Engineering said it will execute the whole engineering, procurement and construction (EPC) process and expects the Aramco HUGRS to be completed in 2023.

The scope of work includes gas injection facility with booster compressors and injection compressors, gas reproduction facility with reproduction compressors and slug catchers as well as utilities & offsite facilities.

Samsung Engineering said it is confident in the success of this project, based on its experience in Saudi Arabia and its strong partnership with the client.

Since its first entry into Saudi Arabia in 2003, Samsung Engineering has carried out more than 30 projects worth about $15 billion, half of which are Aramco projects.

Samsung Engineering’s president and CEO Sungan Choi said: "Continuing to provide safe and quality projects, Samsung Engineering will ensure that this project will leave a mark in Saudi Arabia and will lead to build on our position in the Middle East overall.”

For all the latest energy and oil news from the UAE and Gulf countries, follow us on Twitter and Linkedin, like us on Facebook and subscribe to our YouTube page, which is updated daily.