Page 14 - MEOG Week 37 2021

MEOG NEWS IN BRIEF MEOG

group of international offshore contractors. China’s Offshore Oil Engineering Company SERVICES
The Zuluf incremental project is a key are said to be in the fray, another source said.
element of Saudi Arabia’s strategy to boost its The third Zuluf tender – CRPO 81 Honeywell, Aramco ink
oil production to 13 million barrels per day. (Package 3) – comprises multiple additional
The much-delayed development is expected water-injection wellhead topsides, one water- digital technology solutions
to cost up to $8 billion and aims to boost injection tie-in platform plus associated
crude output by as much as 600,000 barrels offshore infrastructure. deal
per day, almost doubling the field’s production The six bidders eyeing the second package
capacity. are also understood to chasing CRPO 81, Global technology company Honeywell
Zuluf is said to be producing about 550,000 Upstream understands. has signed a MoU with state oil giant Saudi
to 600,000 bpd of oil from the Arabian A fourth package – CRPO 82 (Package 4) – Aramco to explore the co-development
Medium reservoir and Aramco is targeting is expected to include at least 12 oil-handling and commercialization of next-generation
additional volumes from the Arabian Heavy wellhead topsides, two oil tie-in platforms digital technology solutions designed to
reservoir in its next expansion phase. and one electrical distribution platform, help improve productivity, sustainability
Aramco earlier this year tendered for a while a fifth contract – CRPO 83 (Package and operational excellence of industrial
quintet of offshore jobs, dubbed contract 5) – is made up of 12 additional oil-handling companies, on a global scale.
release purchase orders (CRPOs), that wellhead topsides, two oil tie-in platforms, The fully digital technology will leverage
combined are likely to be valued upwards of as well as infield pipelines and cables, project Aramco’s Plant.Digital system and its
$5 billion. watchers told Upstream. technical and domain knowledge in end-
The tenders for the offshore facilities have Bidders for the fourth and fifth packages to-end plant operations, combined with
been in the works for several years but had are thought to be similar to the second and Honeywell’s global software development and
been put on hold due to the coronavirus crisis third packages, barring Sapura and Lamprell’s commercialization expertise.
and plummeting oil demand. participation in Package 4, a third person said. It will be brought to market through a joint
However, Aramco is said this year to have Up to 10 LTA contractors are a part of venture (JV) between the two companies that
fast-tracked its key offshore incremental Aramco’s coveted LTA arrangement, but a will also serve as a software system integrator
projects, on the back of improved market few players chose to stay away from the Zuluf to reduce time-to-value for customers, said
fundamentals and higher oil prices. tender process. the statement from Honeywell.
The first tender package – CRPO 79 Those that are said to be out of the fray The digitalized Plant.Digital suite will
(Package 1) – covers multiple segments of include a grouping of UK-based TechnipFMC provide industrial companies with the tools,
onshore and offshore 42-inch oil trunklines. and Malaysia Marine & Heavy Engineering, processes and practices they need to run
Those said to have bid include McDermott Dynamic Industries of the US and South plant operations more effectively and will
of the US, Italy’s Saipem, a partnership of Korea’s Hyundai Heavy Industries. accelerate sustainable digital transformation
India’s Larsen & Toubro with Oslo-listed In addition to the offshore projects, EPC and operational excellence initiatives across
Subsea 7, and Abu Dhabi’s National Petroleum players are chasing two substantial packages industries.
Construction Company, one source said. for Zuluf’s onshore scope of work. This dynamic entity will emphasize on the
A second package – CRPO 80 (Package The two contracts are thought to be development and deployment of Operations
2) – comprises nine water-injection wellhead together worth more than $2.5 billion and are Technology (OT) solutions and Digital
topsides, two water-injection tie-in platforms, a key part of the project. Transformation consulting, it stated.
infield lines and subsea cables. The Zuluf field is located about 40 The proposed JV is expected to create more
Six bidders are said to be eyeing this kilometres offshore Saudi Arabia’s north-east than 500 jobs in Saudi Arabia within five
package. coast in about 40 metres of water. years of its launch, supporting the country’s
In addition to the four contenders chasing UPSTREAM In-Kingdom Total Value Add (IKTVA)
the first package, a grouping of Malaysia’s Program, designed to boost Saudi economic
Sapura Energy with UK-listed Lamprell, and and workforce development.

P14 www. NEWSBASE .com Week 37 15•September•2021