Saudi, American Energy Firms Ink Deals Worth Billions

Aramco

As part of an estimated $200 billion in trade and investment deals between Saudi Arabia and the United States, corporations from the two nations have concluded a variety of deals in the energy sector. Saudi Aramco inked more than a separate deals worth $50 billion in investment with its American counterparts, including such firms as General Electric Co, Schlumberger Ltd and Halliburton Co.

“The agreements signed today by Saudi Aramco with major American companies underscore the purposeful collaboration between Saudi Arabia and the US in areas of strategic importance linking Saudi Vision 2030 and America’s own economic depth and strength,” said Saudi Aramco President and CEO Amin Nasser.

Among the energy deals signed, Saudi Aramco-owned Motiva Enterprises LLC, announced a landmark investment in the United States totalling $12 billion with a likely additional investment of $18 billion by 2023. The agreement will lead to a significant boost in Motiva Enterprises LLC’s U.S. operations at the facility in Port Arthur, Texas. It is estimated the deal will create approximately 2,500 additional jobs in the short term and a further 12,000 jobs by 2023, underlining the longstanding importance of Saudi-U.S. ties.

Additional deals announced at the Saudi-US CEO Forum included the following

Jacobs: MOU to localize design, engineering, procurement, construction and project management services for the oil and gas industry. The value of the MOU is $250 million and will create 300 jobs, with a focus on increasing construction management and engineering services.

Weatherford: MOU to deliver a series of projects related to localizing oil field goods and services. The potential value of the MOU is $2 billion and will create over 900 jobs, as well as support suppliers with $16 million in funding.

McDermott: MOU to deliver projects localizing goods and services along Saudi Aramco’s supply chain. The potential value of the MOU is approximately $2.8 billion and will create up to 2,000 jobs.

Rowan Companies: MOU to deliver projects localizing goods and services along Saudi Aramco’s supply chain. The initial value of the investment is $1.2 billion.

Nabors: MOU to deliver projects localizing goods and services along Saudi Aramco’s supply chain. The value of the MOU is $1.6 billion and will create 1,000 jobs, as well as support suppliers with $6 million in funding.

Honeywell: MOU to deliver projects localizing goods and services along Saudi Aramco’s supply chain. The value of the MOU is $3.6B and will create over 400 jobs, as well as support the development of SMEs, suppliers and partners with $10 million in funding.

Read more about this story at Arab News.