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News Release 2011
 
Project Info

26NOV2012 JGC Awarded EPC Contract for Jazan Refinery and Terminal
in Saudi Arabia
 

Yokohama JapanJGC Corporation announced today that, together with its Saudi subsidiary JGC Arabia Ltd., it has received a notice of award for a lump-sum turnkey contract from the Saudi Arabian state-owned oil company Saudi Aramco for the engineering, procurement and construction (EPC) services associated for the Jazan Refinery and Terminal.

Jazan Refinery and Terminal, to be built in the province of Jazan, located in the southeast area of Saudi Arabia, is expected to have 400,000 barrels per day capacity to process crude oils and produce gasoline, ultra low sulfur diesel and aromatics. JGC will be taking charge of the EPC work for the Naphtha and Aromatics Complex, which is scheduled for completion in 2016. The value of the contract was not disclosed.

Saudi Arabia is implementing a national policy to diversify its industry and workforce. As part of that policy, since 2006, the Saudi government has been planning development of the Jazan Economic City, located in southwestern Saudi Arabia on the Red Sea coast near the Yemen border. The Jazan Economic City comprises 108 square kilometers, with plans for sequential development of infrastructure including power plants, desalination plants, a seaport, and a residential district, and invitations to heavy industries as well as manufacturing industries including electronics, pharmaceuticals, processed foods and others. Saudi Aramco has planned the 400,000 barrel per day capacity Jazan refinery and Terminal as a flagship project to serve as a symbol of the Jazan Economic City as a whole.

Given the extremely large scale of this mega-project, Saudi Aramco has divided it into 14 separate bidding packages, of which JGC was awarded: Naphtha and Aromatics Complex. It is thought that JGC was chosen for the project because of our robust history of successful project execution in the Middle East and Saudi Arabia in particular, as well as our superior engineering technology and cost competitiveness. We hope that successful execution of this project will serve to further strengthen our ties with Saudi Aramco.

The Middle East, where JGC has executed a large number of oil refinery, petrochemicals and gas processing projects, remains one of our most important regional markets. Many more crude oil processing, gas processing, oil refining and petrochemicals projects are planned for this region, so JGC will continue to make maximum efforts to promote our strengths and experience in hopes of winning more project orders in the near future.



 

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