Saudi Aramco has signed a shareholder agreement with Lamprell plc, the National Shipping Company of Saudi Arabia (Bahri), and Hyundai Heavy Industries Co. Ltd (HHI) to enter into a joint venture partnership for the establishment, development and operation of a world-class maritime yard – the anchor project in the King Salman International Complex for Maritime Industries and Services located in Ras Al-Khair, near Jubail Industrial City on the Kingdom's east coast. The integrated maritime yard will be the largest in the region in terms of production capacity and scale, providing an unprecedented mix of products and services in the region and enabling Saudi Aramco and its supply chain partners to meet their manufacturing, maintenance, repair and overhaul requirements for offshore oil and gas rigs, offshore support vessels, and commercial vessels, including Very Large Crude Carriers (VLCC). The new facility will have the capacity to manufacture 4 offshore rigs, over 40 vessels including 3 VLCCs, and service over 260 maritime products annually. Major production operations are expected to commence in 2019 with the facility reaching its full production capacity by 2022. The initiative will also contribute toward transfer of technological expertise related to the maritime industry and job creation in the Kingdom. The strategic partnership among industry leading companies is positioned to capitalize on the rapidly-growing maritime requirements in the region by offering globally competitive, safe, high quality and on-time solutions to customers. The new joint venture localizes essential links of Saudi Aramco's supply chain related to offshore drilling and shipping activities, which will lead to optimized cost, reduced response times and improved agility for Saudi Aramco and its affiliates. — SG
