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Jacobs wins Dow and Saudi Aramco Sadara EPCM contract

Jacobs collects awards in Saudi Arabia giant projects

In May, Jacobs Engineering Group Inc. (Jacobs) had been awarded the Front End Engineering and Design (FEED) for the $6 billion Ma’aden Phosphate city project.

Then in June, Jacobs announced to have won the engineering, procurement and construction management (EPCM) contract for three polyethylene trains for the $20 billion Sadara project.

Sadara Chemical Company (Sadara) is a 50/50 joint venture between Saudi Arabian Oil Company (Saudi Aramco) and The Dow Chemical Company (Dow).

Jacobs‘ scope of work for the project includes:

 – Construction management

 – Field engineering support

 – Management of the selected construction contractors to work on Lump Sum Turn Key (LSTK) contracts

 – Field materials management

 – In-Kingdom procurement services

 – Project services support for the three polyethylene trains.

The execution of this EPCM contract is being performed by Jacobs‘ office in Al Khobar, Saudi Arabia.

This award is part of a world scale, fully integrated chemicals complex now being built by Sadara in Jubail Industrial City in Saudi Arabia.

With $20 billion capital expenditure, the Sadara project includes 26 manufacturing units.

Dow and Saudi Aramco complex will be one of the world’s largest integrated chemical facilities, and the largest ever built in a single phase.

First production units are expected to come on line in the second half of 2015, with all units completed, up and running in 2016.

Dow and Saudi Aramco have Sadara packages still pending

Most of the engineering, procurement and construction management (EPCM) contracts for the 26 units of the Sadara petrochemical complex have been awarded by the joint venture Dow and Saudi Aramco.

But it remains a series of large aromatics and olefins packages to be awarded:

 – Aromatics

 – Chlorine and brine construction

 – Ethylene Oxide (EO) and derivatives

 – High Density Polyethylene (HDPE)

 – Polyethylene (PE)

 – Polyethylene Oxide Diachrylate (PEO/DA)

Due to the short period of time left before the Ramadan,  Dow and Saudi Aramco are likely to award these packages in September.

Jacobs Engineering in brief

 Jacobs Engineering Group Inc. (Jacobs), with 2011 revenues of over $10 billion, is one of the world’s largest and most diverse providers of technical, professional, and construction services.

Jacobs offers full-spectrum support to industrial, commercial, and government clients across multiple markets such as Aerospace, Automotive, Building, Chemicals and Polymers, Energy, Mining and Minerals, Oil and Gas, Refining,

Jacobs engineering services include scientific and specialty consulting as well as all aspects of engineering and construction, and operations and maintenance.

With headquarters in Pasadena, California, USA, Jacobs has operations in North America, the United Kingdom, mainland Europe, India, Australia, Africa and Asia through a global network of more than 200 offices in over 25 countries.

Jacobs is listed in the S&P 500 stock market index, and traded on the New York Stock Exchange under the symbol JEC.

To build its Market Leadership, Jacobs develops its business model on a long term relationship-based approach with approximately 65 percent of our work derived from long-term relationships.

From actual successes with Ma’aden, Sabic, Dow and Saudi Aramco in Phosphate city and Sadara projects, Jacobs business model seems to work for sustainable expansion.

For more information and data about oil and gas and petrochemical projects go to Project Smart Explorer

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