Saudi Aramco signs 6 memoranda of understanding with international companies


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Posted in: Monday 30 November 2020 – 10:43 am | Last updated: Monday, November 30, 2020 – 10:43 am

Today, Monday, Saudi Aramco signed memoranda of understanding with international companies as part of its plans to establish new international partnerships and establish companies through the industrial investment program linked to the development of the company’s business, as a continuation of its efforts in its pioneering program to increase local content and strengthen supply chains.

The Saudi Press Agency (SPA) reported today that memoranda of understanding were signed with Royal Shell and the Dutch “AMG”, and Chinese companies included Suzhou “XDM”, Chen Gong, Zenfu, and Zhejiang Subcon Technology Co., Ltd., in addition to POSCO. Which is based in South Korea.

According to the agency, the signing of these memoranda represents a major addition to the program to enhance the total added value of the supply sector in the Kingdom (IKTVA) since its launch five years ago on the first of December 2015, and this strategic cooperation will pave the way for the launch of new businesses across many sectors of growth. The innovations include sheet steel fabrication, 3D printing, digital equipment manufacturing, energy management and control systems, chemical media manufacturing and recycling, as well as manufacturing advanced electronic chips and smart sensors.

Saudi Aramco President and Chief Executive Officer, Engineer Amin bin Hassan Al-Nasser, explained that Saudi Aramco has achieved great success, since it launched the IKTVA program to increase local content, as the company’s local content index increased from 35% to 56%, despite the fluctuations in the global economy at the time. Currently, however, the company’s focus is on long-term goals that take into account the interest of the company and at the same time make a tangible positive impact on the business environment, economic development and the GDP in the Kingdom.

He added that in light of the company’s plans that seek to attract investment, achieve economic prosperity and increase growth, the company sees opportunities for new business and partnerships with partners with pioneering experience in the environmental and industrial fields and in digital transformation technologies and technologies of the Fourth Industrial Revolution.

He pointed out that these new partnerships will contribute to advancing innovation, sustainability and reliability in Saudi Aramco’s business, and will also add value to companies operating in the Kingdom’s energy sector, a large sector that seeks continuous development and excellence at the global level.

He pointed out that these partnerships will also enhance the company’s investments in non-metallic materials and the circular carbon economy, the development of human resources in the community surrounding the company’s business, and its ambition to achieve mutual benefits with partners.


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