- First-of-its-kind facility in the region to offer both sand-casting and open die forging processes (complemented by machining facilities)
- The facility is expected to have an annual production capability of 60,000 tons
- The facility is expected to create approximately 1,400 direct jobs
- The facility is anticipated to be operational in the first quarter of 2025
Riyadh – January 18th, 2022: The Saudi Arabian Industrial Investments Company (Dussur), Saudi Aramco, and South Korea’s Doosan Heavy Industries & Construction Co., Ltd. (Doosan), a subsidiary of the Doosan Group, announced the establishment of TuwaiqCasting &Forging Company, which is a joint venture (JV) to construct, own and operate a world-scale, integrated casting and forging facility in the industrial city of Ras Al Khair, Saudi Arabia.
The production capacity of this project is expected to be 60,000 tons annually of various products used to supply original equipment manufacturers (OEMs) and local manufacturers in many fields including drilling rigs, drilling equipment, engines and marine services, in addition to providing the local market with the resources needed to produce manufacturing and operating equipment such as valves, pumps, compressors, wellheads, pipe flanges, heat exchangers, gas turbines, and winds. The facility will focus on sand casting and open-die forging, coupled with machining efficiencies. The project aims to cover the local demand for these products, with plans to expand abroad in regional markets.
The JV facility in Ras Al Khair on Saudi Arabia’s east coast is expected to implement strong safety standards and utilize high-efficiency world-class processes to produce high-quality products. It is expected to localize expertise in multiple high-quality fabrication disciplines and create around 1,400 direct jobs. Commercial operation is expected by the first quarter of 2025.
Dr. Raed Al-Rayes, CEO of Dussur, said, “Through this strategic investment, we seek to pave the way for the development and advancement of many manufacturing industries - in line with Kingdom’s Vision 2030. The aim of the project is to localize industrial supply chains and sectors such as the oil and gas industry, the marine sector, the auto-mobile industry, and the defense sector. We are working to ensure that this project contributes in enhancing the local content, helping accelerate the growth and development of the manufacturing sector in the Kingdom. Inaddition to transferring the technical know-how and expertise by our technical partner (Doosan) in the casting and forging industry, benefitting the youth of the country.”He added, “This is a unique facility that willcombine melting, casting, forging, and machining capabilities under one roof serving sectors under Dussur’s mandate of catalyzing the development of industrial value chains.”Dr. Al-Rayes concluded, “This wouldn’t have been possible without the support of the government and HRH Crown Prince Mohammad bin Salman, along with other government entities, including the Ministry of Energy, Investment and Industry. Also, we would like to thank the Committee for their support.” “This joint venture is expected tobe instrumental in enabling multiple local industrial value chains. The new facility isalso expected to enable OEMs toexpand their local spend through sourcing casting and forging components from the joint venture facility, and would eventually enhance their local content, in line with our localization objectives,” said Waleed Al-Saif, Aramco’s Executive Director of New Business Development. “This facility is meant to produce semi-finished and finished cast and forged components to meet the local demand driven by Saudi Aramco, as well as the existing energy and industrial sectors, with a plan to serve the GCC region. It isalso expected to act as a catalyst to unlock and attract future industries to be established within the Kingdom,” added Al-Saif. “This joint venture project represents a significant milestone as we expand overseas with our casting and forging technology,” said Geewon Park, Doosan Heavy Industries & Construction Chairman and CEO. “It will serve multiple industries throughout Saudi Arabia while also serving as a platform to offer our expertise in other emerging business areas such as renewable energy,” Geewon Park added. About Dussur: Dussur is a strategic industrial investor established by a Royal Decree as a joint venture of the Saudi Arabian Public Investment Fund (PIF) (50%), Saudi Aramco (25%) and Saudi Arabia Basic Industries Corporation (SABIC) (25%). In line with Vision 2030 objectives, Dussur’s designated role is to advance the industrialization and economic diversification of Saudi Arabia through the creation of joint ventures with global industry leaders that enable the private sector, facilitate knowledge and technology transfer, create sustainable jobs, and contribute to the nation’s GDP. For more information please visit: www.dussur.com. About Saudi Aramco: Saudi Aramco is a leading global integrated energy and chemicals company. We are driven by the core belief that energy is opportunity. From producing approximately one in every eight barrels of the world’s oil supply to developing new energy technologies, Saudi Aramco’s global team is dedicated to creating an impact. We focus on making the resources more dependable, more sustainable and more useful, helping promote stability and long-term growth around the world. www.aramco.com About Doosan: Established in 1962, Doosan Heavy Industries & Construction has played an instrumental role in the development of Korea’s machinery industry for more than 50 years. Doosan has emerged as a significant presence in the power generation and desalination sectors by supplying specialized products and services as well as providing turn-key EPC works around the various countries in the world, and is now making substantial inroads in the eco-friendly energy sectors. Guided by the vision to become a global leading company in the power generation and water field, Doosan strives to provide reliable integrated solutions to maximize customer satisfaction, and ensure the sustainable prosperity of our communities and humankind. For more information, please visit: http://www.doosanheavy.comCONTINUE READING