Saudi Aramco has awarded a bidding group led by Mustang Al Hejailan Engineering, a Wood Group company, a general engineering services contract.
The contract establishes a long-term framework for the supply of engineering, procurement and construction management services to support the execution of onshore and offshore oil and gas projects within Saudi Arabia. The duration of the contract is five years, plus three one-year extension options.
The release of work under the contract is contingent on Mustang Al Hejailan Engineering finalising agreements to combine with two well-respected Saudi-owned engineering businesses, Dar E&C, which will be the second largest participant in the bidding group, and PI-Consult. Further details will be announced once the terms of the transactions have been finalised. The intention is that the resources of Mustang Al Hejailan Engineering, Dar E&C and PI-Consult will be combined to create a leading in-kingdom engineering and project management services provider. Mustang will continue to lead the company.
“We are excited to work with Saudi Aramco to deliver the challenging projects they have scheduled, both on- and offshore, over the coming years,” said Steve Knowles, president of Mustang.
Tight evaluation process
Saudi Aramco, Saudi Arabia’s national oil company, selects services from approved contractors that are stringently evaluated and meet rigid standards and specifications. The bidding group was required to provide extensive documentation of capabilities and processes, along with consistent proof of quality. The evaluation process included independent audits, surveys, quality management system evaluations, and reviews of engineering capabilities and an in-kingdom business plan.
Faisal Al Hejailan, president of Mustang Al Hejailan Engineering, commented: “We look forward to working closely with Saudi Aramco, one of the world’s leading oil companies, to help maximise the region’s market potential.”
Mustang Al Hejailan Engineering, 55 per cent owned by Mustang, is located in Al Khobar and is a fully registered company in Saudi Arabia.
