China’s Shandong Electric Power Construction Corp (SEPCO) is likely to win a gas booster project for Saudi Aramco, Reuters reports.
The project is aimed at expanding the capacity of the main gas pipeline across Saudi Arabia, accoridng to industry sources.
In 2014, SEPCO was awarded the contract for Phase 1 of the Master Gas System (MGS) which is due to be completed by the end of 2016.
The project is expected to boost the capacity of the MGS to 9.6bn cubic feet of gas a day (cfd) from 8.4bn cfd currently, Aramco has said.
Industry sources told Reuters that under the new project called MGS 2, SEPCO will build a gas compressor station that will increase the capacity of the MGS to 12.5bn cfd by 2018.
“Under the Out of Kingdom-In Kingdom basis, officially SEPCO is the lowest bidder,” one source said.
The source added that JGC Gulf, a subsidiary of Japan’s JGC Corp, had submitted an alternative offer on a different basis.
