Group led by Mustang Al-Hejailan Eng awarded general engineering services contract by Saudi Aramco

07-Mar-11

A bidding group led by Mustang Al-Hejailan Engineering, a Wood Group company, has been awarded a general engineering services (GES+) contract by Saudi Aramco. The contract establishes a long-term framework for the supply of engineering, procurement and construction management services to support the execution of onshore and offshore oil & gas projects within the Kingdom of Saudi Arabia. The duration of the contract is five years, plus three one-year extension options. The release of work under the contract is contingent on Mustang Al-Hejailan Engineering finalizing agreements to combine with two well-respected Saudi-owned engineering businesses, Dar E&C, which will be the second largest participant in the bidding group, and PI-Consult (taken together, the `bidding group'). Further details will be announced once the terms of the transactions have been finalized. The intention is that the resources of Mustang Al-Hejailan Engineering, Dar E&C and PI-Consult will be combined to create a leading in-Kingdom engineering & project management services provider. Mustang will continue to lead the company. "We are delighted with this award and pleased to have been given the opportunity to strengthen our partnership with Saudi Aramco as one of their preferred providers," said Steve Knowles, president of Mustang. "We are excited to work with Saudi Aramco to deliver the challenging projects they have scheduled, both on- and offshore, over the coming years." Mustang Al-Hejailan Engineering, 55% owned by Mustang, is located in Al Khobar and is a fully registered company in the Kingdom of Saudi Arabia.