Accord Signed on Energy Park

DHAHRAN, August 05, 2009--Saudi Aramco and the Oilfields Service Contracting Co. (OSCC) recently signed a Memorandum of Understanding (MOU) aimed at promoting cooperation on the establishment of an Energy Park in Dammam.

The MOU underscores Saudi Aramco’s commitment to building the local economy by facilitating the formation of oil and gas equipment manufacturing and services facilities in the Kingdom.

OSCC will plan, build, own and operate the Energy Park, which is considered the first project of its kind in Saudi Arabia to use the Common User Supply Base concept. Under that concept, OSCC will make available full-service logistical capabilities, leaving clients to focus on their core business.

The project will be built on 1.5 million square meters of land at Dammam’s Second Industrial City, with an estimated investment of about $250 million.

OSCC will attract international, regional and local oil and gas service companies as well as power-generation companies that will build facilities at the Energy Park.

The Energy Park is planned and designed as a self-contained industrial park with different zones including industrial, residential, educational and other community services. Special emphasis is being placed on the manufacture of oil-industry equipment.

More than 120 manufacturing, workshop and material storage facilities are expected to occupy the park, which when completed will create nearly 2,000 jobs. OSCC plans to start commercial operations of the park by mid-2011.