Dutch company wins $7.7 billion Saudi Aramco pipeline project

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Strohm to Supply 33 km of Thermoplastic Composite Flowlines for $7.7 Billion Fadhili Gas Plant Expansion

Netherlands-based Strohm has announced that it has secured an order to supply thermoplastic composite pipes (TCP) for Saudi Aramco’s $7.7 billion Fadhili Gas Plant expansion project.

Strohm described the contract as “medium-sized,” a term denoting a value range between $10.38 million to $20.77 million.

Dutch-company-wins-$7

Netherlands-based Strohm announced that, as part of its contract, it will supply 33 km of Thermoplastic Composite Pipe (TCP) flowlines for the $7.7 billion Fadhili Gas Plant expansion project, with pipeline delivery scheduled for September.

The Dutch company clarified that the 6-inch glass fiber-reinforced polyethylene composite pipes will be used for monoethylene glycol (MEG)-rich transfer. Their lightweight solid structure eliminates corrosion risks, while the smooth inner lining ensures enhanced flow efficiency.

Strohm stated that the TCP flowlines will be manufactured at its primary facility in Ijmuiden and installed on-site with support from local labor.

“The contract was awarded following material selection studies by Saudi Aramco and its engineering partner KBR, which identified TCP as the optimal solution for flowlines due to its fluid compatibility, high-quality standards, corrosion resistance, and low carbon footprint,” Strohm added.

While Strohm did not disclose the client, industry sources indicate the order was placed by Samsung E&A (Japan), the main contractor for the Fadhili expansion project, which holds the largest engineering, procurement, and construction (EPC) package worth approximately $6 billion.

Fadhili Gas Plant Expansion Overview

Located 30 km southwest of Khursaniyah Gas Plant in Saudi Arabia’s Eastern Province, the Fadhili Gas Plant began operations in early 2020 with a processing capacity of 2.5 billion cubic feet per day (cf/d).

Saudi Aramco aims to increase the plant’s capacity from 2.5 billion to 4.0 billion cf/d by adding three processing trains, each with a 500 million cf/d capacity.

In April last year, Saudi Aramco awarded four key EPC packages for the expansion:

  • Package 1– Gas processing plant expansion: Samsung E&A (South Korea)
  • Package 2– Sulfur Recovery Units (SRUs): GS Engineering & Construction (South Korea)
  • Package 3– Early civil works: Nesma & Partners (Saudi Arabia)
  • Package 4– Utilities and offsites: Samsung E&A

Samsung E&A recently subcontracted Lebanon-based Consolidated Contractors Company (CCC) to build utilities and offsite facilities under Package 4.

Scheduled for completion in November 2027, the expansion is expected to boost sulfur production by 2,300 metric tons per day. Saudi Aramco emphasized that this project is critical to its goal of increasing natural gas production by over 60% by 2030 compared to 2021 levels.

Disclaimer: The content herein is sourced from Haitai Middle East. It is provided for reference and informational exchange purposes only. Copyrights of republished materials belong to their original authors and/or affiliated institutions.

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