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Saudi Arabia awards construction contract for dry gas network in Dammam

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Saudi Arabia’s Ministry of Energy has announced that the National Gas Co (NATGAS) has been awarded the contract to establish and manage a dry gas network in Dammam Third Industrial City.

The city is a prominent industrial hub in the country, housing around 176 existing or upcoming factories, as stated in an Arabic announcement on the ministry’s website. The exact value of the contract has not been disclosed.

The ministry expressed its commitment to expanding the utilization of gas instead of liquid fuels to achieve the objectives of the Liquid Fuel Displacement Program. As part of this initiative, the ministry aims to establish gas distribution networks in various industrial cities across Saudi Arabia.

In October 2021, the ministry issued a public tender inviting proposals for a license to develop, own, and operate a dry gas network in Dammam’s Third Industrial City in the Eastern Province.

Under this project, a pipeline network will be constructed, connecting to Saudi Aramco’s supply point to provide dry gas to all the factories requiring fuel in the region.