Baker Hughes breaks ground at Oilfield Services Regional Hub

By Dominic Ellis
Baker Hughes' 300,000sqm regional hub will support its oilfield services operations and customers across the Middle East

Baker Hughes has broken ground at the Oilfield Services Regional Hub in Saudi Arabia.

This is the latest in a line of firsts at the King Salman Energy Park (SPARK) mega project since its launch in 2018 and gives added weight to the energy industrial city's commitment to contributing over $6 billion annually to the Saudi GDP and create thousands of new highly skilled jobs.

SPARK's President and CEO, Saif S. Al-Qahtani, was delighted to partner with a prominent energy player such as Baker Hughes as they commence construction of this ambitious and impressive regional hub.

"We commend them for the passion and commitment they bring to our partnership, which creates further momentum as we put in place the infrastructure, support and services that ensure investors of all sizes can easily participate in Saudi Arabia's energy sector," he said.

SPARK has signed agreements with multiple major international and national energy companies, representing investments worth over $2 billion in less than two years.

The 300,000sqm regional hub will support Baker Hughes' Oilfield Services operations and customers across the Middle East, adding further reassurance to SPARK investors that they are joining a leading energy ecosystem where they will have full access to, and ease of participation in, the energy value chain in Saudi Arabia.

"Baker Hughes is committed to supporting Saudi Vision 2030 and Aramco's iktva program. These programs drive localisation through job creation, supply chain development and export enablement, and further emphasize Saudi Arabia's position as a global energy hub," said Lorenzo Simonelli, Chairman and CEO of Baker Hughes. "Today's milestone reflects our continued efforts to transform our core capabilities to ensure we deliver to Saudi Aramco and other regional customers with speed, efficiency and operational excellence."

The facility adds to Baker Hughes' existing presence at SPARK, after construction began in 2020 on "Novel"; Baker Hughes' JV with Aramco to develop and commercialize a broad range of non-metallic products for multiple applications in the energy sector. SPARK aims to advance sustainable innovation in the energy sector by creating a conducive environment to enhance local production and be competitive globally.

This mission is integral to the city's design and operations, with a Non-Metallic Hub and Association Center centrally located in the SPARK city masterplan.

SPARK, which spans an area of 50 sq kms, is being developed with a vision to become the leading gateway to the regional energy sector, providing a complete spectrum of solutions to support business growth in the Kingdom. SPARK is also the first and only industrial city in the world to achieve silver LEED certification.

SPARK offers infrastructure at international standards for global investors in the oil & gas, refining, petrochemical, power and water production and treatment industries.

Execution is planned over three phases; with the first phase being nearly complete, which consists of infrastructure, roads, utilities and real estate assets established across 14 sq kms. This is in addition to a 3 sq kms dry port and logistics zone.

The Saudi American Partners in Development (SAPD) aims to encourage leading American groups to get involved in Saudi mega projects as well as joining investments in major infrastructure programs in key sectors such as oil and gas, power, construction, water, mining and healthcare.

As the world's biggest oil exporter, Saudi Arabia recently pledged to be net zero by 2060.


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