Aramco launches JV to manufacture drilling rigs in Saudi Arabia for first time
Saudi Aramco inaugurated today, Oct. 11, Arabian Rig Manufacturing (ARM), which aims to manufacture drilling rigs and related equipment, as well as provide after-sales services in Ras Al-Khair, for the first time in the Kingdom.
ARM is a joint venture (JV) between Saudi Aramco and NOV, the oil giant said in a statement received by Argaam.
This project aligns with Saudi Aramco’s efforts to localize rig manufacturing, boost economic growth, create job opportunities and develop local capacities in line with the Kingdom’s ambitious vision and the IKTVA program.
The project is one of NOV’s largest investments for rig manufacturing outside the US. The capacity of the facility, built in Ras Al-Khair on an area of nearly 500,000 square meters, is expected to reach 10 drilling rigs annually, said Amin Nasser, President and CEO of Saudi Aramco.
The local rig industry contributes to reducing dependence on imported products and creating more job opportunities for young Saudis.
“Drilling rigs are one of the most important symbols of the oil and gas industry and one of the main equipment used in global energy supplies, and now the Kingdom of Saudi Arabia has become a site for designing and manufacturing highly efficient and technical onshore drilling rigs,” Nasser said.
Part of the drilling rigs are planned to be will be used in the Kingdom, while the other part will be exported, he added.
It is worth noting that AMR delivered the first drilling rig last March to Aramco Nabors Drilling Company (SANAD).
Published: 11-10-2022
