Saudi Aramco signed a contract with Arab subsidiary of US General Dynamics IS&T to increase security at its offshore facilities.
Aramco’s vice president for project management Fahad al-Helal said the company operates major assets in the Arabian Gulf, including the world’s largest offshore field. He added that it continues to expand its offshore operations to meet increasing demand.
"Maintaining the safety and security of these assets will support Saudi Aramco’s objective to remain a reliable supplier of oil and gas,” he said.
Meeting the project’s targets and objectives is very important, especially in relation to Saudization and In-Kingdom Total Value Add requirements in support of the local economy and Vision 2030, according to Helal.
In July, the contract involves installing long-range integrated security systems at nine offshore sites in the Gulf, Reuters reported industry sources as saying.
Earlier, Aramco received bids from other defense firms, including Raytheon Co of the United States, Germany’s Rheinmetall AG, Leonardo’s Selex ES Saudi Arabia. The value of the contract was not disclosed but sources told Reuters that General Dynamics will work with Saudi Binladin Group.
Saudi Aramco has been signing deals with foreign firms who have established local manufacturing as part of its in-kingdom total value add program (IKTVA), where Aramco aims to double the percentage of locally-produced energy-related goods and services to 70 percent by 2021.
Aramco also wants to export 30 percent of the total domestic energy goods and services produced in the Kingdom within that same time frame.
In a brief statement posted on the "Arabian Sun" magazine issued by Aramco, Helal added that the project supports such an initiative.
In November, Aramco signed eight agreements, of $4.5 million value in total, with several oil and gas service contractors for projects to enhance the company’s energy sustainability, diversify the economy, expand gas production, and localize domestic content.
Aramco also announced earlier that it was considering investing in producing 600,000 barrels per day at the Zuluf offshore field by building new facilities. In addition, it plans to increase its gas production from 16 billion cubic feet to 20 billion cubic feet by the year 2021, as part of the company's plan to reach 23 billion cubic feet by the year 2025.