Saudi Arabia Lays Foundations for USD 4.3 Billion Maritime Complex

The inauguration ceremony of the King Salman Global Maritime Industries Complex was held at Ras Al-Khair, near Jubail in Saudi Arabia, on November 29, 2016, South Korean shipbuilder Hyundai Heavy Industries (HHI) informed. 

Saudi Arabia’s King Salman bin Abdulaziz Al Saud laid the cornerstone of the King Salman International Complex for Maritime Industries & Services, which was named in his honor during the ceremony.

The intended maritime yard is aimed at providing engineering, manufacturing and repair services for offshore rigs, commercial vessels and offshore service vessels.

Upon completion, the USD 4.3 billion yard will encompass an area of 4.96 million square meters and will consist of four operating zones, including several dry docks and over 15 piers and wharfs of various types.

The ceremony is a follow-up of the memorandum of understanding (MOU) on new business opportunities collaboration signed in November 2015 between HHI, energy and chemicals company Saudi Arabian Oil Company (Saudi Aramco), Lamprell and The National Shipping Company of Saudi Arabia (Bahri). The parties agreed to collaborate on businesses including the maritime yard, marine engine and industrial plant.

Earlier this year, the parties also inked a joint development agreement (JDA) on the establishment of the yard.

King Salman Global Maritime Industries Complex is being executed as part of Saudi Arabia’s growth and economic diversification strategy ‘Vision 2030’.

The complex is expected to begin initial production in November 2018, followed by operation of the rig area in February 2019, the shipbuilding area in 2020, and the maintenance and overhaul area in 2021, with full production capacity to be reached by 2022, according to Saudi Aramco.