King Salman Energy Park Sparks New Era of Growth for Saudi Arabia’s Energy Sector
DHAHRAN, Saudi Arabia, December 10, 2018 /PRNewswire/ --
- HRH Crown Prince breaks ground for Energy Park with multinational companies
- Investors and tenants signing agreements to invest and establish operations
- Energy Park will occupy a total of 50 square kilometers
- Phase 1 investment expected to reach $1.6 billion
- When operational, the project is expected to contribute more than $6 billion to Saudi Arabia's GDP annually and create up to 100,000 direct and indirect jobs
HRH Crown Prince Mohammed bin Salman bin Abdulaziz today broke ground on the King Salman Energy Park (SPARK), located in the Kingdom's Eastern Province. SPARK is a 50-square-kilometer energy city megaproject which will position Saudi Arabia as a global energy, industrial and technology hub. The first phase of the development will be completed by 2021.
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SPARK has already attracted investments from foreign and local companies to produce and manufacture goods and services in the Kingdom's energy sector. The investment in the first phase of the project is expected to be around $1.6 billion.
Saudi Aramco is at the heart of SPARK's development, helping to bring businesses together to drive efficiencies and promote technological development, manufacturing and exports, as well as build a world-class energy supply chain. SPARK's role in enabling localization within the Kingdom's energy supply chain aligns with the strategic goals of Saudi Aramco's In-Kingdom Total Value Add (IKTVA) program.
Highlighting SPARK's role in unlocking the full potential of the Kingdom's energy resources in line with the Kingdom's economic transformation plan, H.E. Khalid A. Al-Falih, Minister of Energy, Industry and Mineral Resources and Saudi Aramco chairman, said: "SPARK is one of the country's most ambitious projects, affirming the Kingdom's commitment to Vision 2030 by creating thousands of high-skilled jobs, serving as an economic catalyst and advancing Saudi Arabia's strong position in the global energy sector. The energy park's unique value proposition makes it an ideal destination for companies looking to invest in the thriving Saudi Arabian energy services market."
Saudi Aramco President and CEO Amin H. Nasser said: "The King Salman Energy Park will start a new era of growth for one of the Kingdom's thriving sectors. It will serve as a central gateway to the region's economies with Saudi Aramco continuing to be at the heart of the global oil and gas industry. We're looking forward to collaborating with our first anchor partners at SPARK, as we are investing in business opportunities for international investors and private-sector companies in the Kingdom. Together, we are building a world-class energy hub that will accelerate solutions across the value-chain for generations."
When operational, SPARK is estimated to contribute more than $6 billion to the Kingdom's GDP annually and create up to 100,000 direct and indirect jobs.
Notes to Editors
- Saudi Aramco collaborates closely with the Saudi Authority for Industrial Cities and Technology Zones which plays a vital role in developing industrial cities with integrated infrastructure and services.
- Built in the Eastern part of the country between Dammam and Al- Hasa, the area occupies more than 50 square kilometers and will unite approximately 300 industrial and service facilities.
- Two-thirds of the development consists of industrial land. The remaining part is a mixed-use community with housing, offices, training centers, hotels and other supporting facilities offered as investment opportunities to real estate investors.
- SPARK has already attracted interest from major international investors such as Schlumberger; Baker Hughes GE; Halliburton; Oilfields Supply Center; Emerson; National Energy Services; Valco; Huatong; Borets; and Al-Rushaid Group.
- Saudi Aramco will transfer its Drilling and Workover operation headquarters to SPARK.
- A modern logistics zone connected to the future GCC railway will offer a wide range of services and include an inland dry port, a bonded area, and a logistics park with warehouses, among others. The highly automated dry port is expected to have an annual cargo capacity of 8 million metric tons.
- The park contributes to Saudi Aramco's mission to develop a national sector for energy-related industries and services.
About Saudi Aramco
Saudi Aramco is a world-leading integrated energy and chemicals company. We are driven by our core belief that energy is opportunity. From producing approximately one of every eight barrels of the world's crude oil supply to developing new energy technologies, our global team is dedicated to creating positive impact in all that we do. We focus on making our resources more sustainable and more useful, promoting long-term economic growth and prosperity around the world. http://www.saudiaramco.com
Contact: [email protected]
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