Doing Business In Saudi Arabia - Bna

Oil & Gas Field Machinery (OGM)
Overview Return to top
Saudi Aramco, the world’s largest and lowest- cost oil producer, has a daily average
output of crude oil of 8.9 million barrels and 8.22 billion cubic feet of gas per day. Saudi
Aramco’s proven recoverable crude oil and condensate reserves are 259.9 billion
barrels. Its gas reserves are estimated at 248.5 trillion trillion cubic feet.
By the end of 2009, Saudi Aramco’s production capacity will reach 12 million barrels per
day. Industry sources confirmed that by 2009, five major projects valued at $18 billion
dollars to increase crude oil production (2.7– 3.05 million b/d), and double its refining
size would be completed.
Saudi Aramco is also expanding the capacity of its Master Gas System, the largest
natural gas network of its kind. Although Saudi Aramco is producing and processing gas
to power the development and diversification of Saudi Arabia’s economy, these
operations do have a positive international impact. By using gas as the primary fuel and
feedstock for domestic industries and utilities, Saudi Aramco is able to redirect crude oil
to international markets, helping to meet growing worldwide demand even as it
continues to fulfill Saudi Arabia’s domestic obligations.
Recently, Saudi Aramco awarded four oil refinery projects worth a total of $23 billion, for
the Rabigh integrated refinery, Yanbu-ConocoPhilips project, Jubai-Total refinery, and
Ras Tanura integrated refinery.
Industry sources estimate the total value of Saudi Aramco’s planned projects for the next
20 years to be around $80 billion dollars.
Data on potential market size data are extremely difficult to estimate, as the Saudi oil
industry is experiencing a major boom. Revenues have grown significantly with the
increased global price for crude oil and the industry is re-investing in expanding output
and in utilizing the most advanced exploration, reservoir management and enhanced
recovery technology.
Best Products/Services Return to top
The aforementioned projects throughout Saudi Arabia will generate a demand over the
next three years in the hundreds of millions of US dollars in Saudi Arabia for high quality
oil and gas industry related products and supplies.
There include; oil and gas field drilling machinery and equipment, casing, pipes, pipe
fitting, valves, power generation equipment, drilling chemicals, pumps, heat exchangers,
gas compressors, tower coolers, instruments and controls, anti-corrosion systems,
laboratory equipment, marine equipment and services, offshore platforms, filtration
systems, pressure vessels, storage systems, treatment systems, injection equipment
and services, production equipment and services, well control systems, packing, seals,
gaskets, bearings, rope, wire rope and chain, safety and environmental protection
5/13/2008