GE unit, Baker Hughes, wins $175m deal to boost gas fields

By Davis Thattil | Feb 27, 2018
Saudi Aramco has awarded a $175 million contract to Baker Hughes, a GE company, to drive enhanced production at the Haradh and Hawiyah gas fields in the Kingdom. Haradh part of the Al-Ghawar, the world’s largest oilfield, Hawiyah gas fields play a key role in supporting the kingdom’s focus on leveraging its gas resources, complementing Saudi Aramco’s plans to double gas production to 23 billion standard cubic feet per day in the next decade.

Saudi Arabia plans to increase the contribution of gas from 50 to 70 percent of the overall energy mix, the highest among the G20 countries. BHGE will supply 27 high-efficiency gas compression trains consisting of compressors, gearboxes, electric motors and loop oil systems for the extraction of gas from the Haradh and Hawiyah to feed the fields’ existing gas plants for processing, contributing to increased operational efficiency.

The contract will be delivered by BHGE’s multimodal facilities in the Kingdom which will undertake the packaging, assembly, testing and servicing of the turbomachinery equipment, further supporting the development of high quality jobs for Saudi professionals. BHGE said it will also work with Saudi suppliers that support the oil and gas industry through the distribution of advanced equipment.

Abdulaziz Al-Abdulkarim, vice president of Procurement & Supply Chain Management Saudi Aramco, said: “The contract with BHGE has a strong in-Kingdom value creation component that will benefit the development of a ‘Made in Saudi’ supply chain for the oil and gas sector. The gas compression trains to be supplied by BHGE will further enhance the efficiency of our gas fields, bringing more value to the economy."

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