BUSINESS

Aramco inks MoU for non-metallic materials production facility

July 02, 2019
The signing ceremony for joint venture facility to manufacture non-metallic materials. — Courtesy photo
The signing ceremony for joint venture facility to manufacture non-metallic materials. — Courtesy photo

Dhahran — Saudi Aramco signed a memorandum of understanding with Baker Hughes, a GE company (BHGE), on Tuesday to create a new joint venture facility in Saudi Arabia to manufacture non-metallic materials for use in a variety of areas of the energy industry.

This is part of Aramco’s strategy to play a leading role in accelerating the deployment of non-metallic materials globally, it said in a press statement.

The joint venture will initially focus on non-metallic reinforced thermoplastic pipes as a first and critical step towards developing such capabilities in Saudi Arabia.

“This partnership with BHGE is another step in Saudi Aramco’s journey towards expanding the use of innovative non-metallic materials in its operations," said Ahmad Al Sa’adi, senior vice president for technical services at Saudi Aramco. "Saudi Aramco has successfully deployed more than 5,000 kilometers of non-metallic pipes, resulting in a significant increase in efficiency and reduction in maintenance and replacement costs across the company’s operations. Producing these materials in the Kingdom would also unlock opportunities for local manufacturers and facilitate knowledge transfer.”

“As a full stream oil and gas service and technology provider, we have a deep background driving non-metallic product development that will benefit a wide range of industries," said Neil Saunders, CEO of BHGE Oilfield Equipment. "Saudi Aramco’s vision to expand their product development in the region aligns with our vision to support innovation and manufacturing in Saudi Arabia.”

Non-metallic applications are deployed in various industries, including oil and gas, construction, automotive, packaging and renewable energy to manufacture products including flowlines, downhole production tubing, vessels, pumps, and cooling towers, all of which are manufactured from non-metallic materials such as plastic, carbon fiber, and glass fiber.

Saudi Aramco recently opened the Non-metallic Innovation Center in the United Kingdom in collaboration with the UK-based Welding Institute and the National Structural Integrity Research Centre to conduct research and development of non-metallic technologies. The center collaborates with leading academic institutions and manufacturers to develop, test, and market new products. — SG


July 02, 2019
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