McDermott begins construction of Saudi fabrication facility

Saudi Aramco-developed site expected to be the largest maritime industries complex in the Kingdom and the Middle East

McDermott has broken ground on its new fabrication facility at the King Salman International Complex for Maritime Industries and Services in the Ras Al Khair region of Saudi Arabia. The move follows a land lease agreement inked by its regional subsidiary, McDermott Arabia Company, with Saudi Aramco in March last year.

According to a statement, McDermott will benefit from infrastructure being developed by Saudi Aramco. The infrastructure is said to include employee accommodation, medial facilities and recreation areas, which will enable McDermott to attract and retain a workforce comprising a significant number of Saudi nationals.

As per the deal, the company will build a state-of-the-art facility spanning 1.2m sqm, which will include offices, pre-fabrication shops, blasting and painting shops, and large assembly shops. The latter will be used to fabricate platforms and modules for both offshore and onshore projects for Saudi Aramco and other customers in the region.

“The King Salman International Complex for Maritime Industries and Services would offer opportunities for strategic industries to operate and flourish in the Kingdom and enable localising the maritime industry,” said Saudi Aramco SVP (technical services) Ahmad A. Al-Sa’adi.

The facility will incorporate up to 80,000sqm of covered shops to house the latest automation technology and will also include a 580m reinforced bulkhead providing marine access.

“The Saudi Aramco team has been working tirelessly for a number of years to create the infrastructure from which McDermott and the other anchor tenants within the complex are able to establish their facilities. With McDermott breaking ground, we move a step closer to the complex acting as a hub for job creation and supply chain development in accordance with Saudi Vision 2030 objectives,” remarked Mohammad Al Assaf, Saudi Aramco VP of New Business Development.

McDermott president and CEO David Dickson commented, “The Safira fabrication yard enhances our long history and close relationship with Saudi Aramco, our largest customer, and demonstrates our commitment to Saudi Vision 2030.”

McDermott senior vice-president (Middle East and North Africa) Linh Austin concluded, “This project will see a new world-class McDermott yard with innovative equipment, technology and processes. As the first EPC contractor to establish a full-scale fabrication facility in Saudi Arabia, we will build on generations of knowledge and experience within McDermott to create something extraordinary. But this project is also about people, and we will continue building our in-kingdom engineering and procurement offices as well as sourcing and developing local talent on all levels in the company.”

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