JEDDAH: Saudi Aramco, the Saudi Arabian Industrial Investments Company (Dussur) and Hyundai Heavy Industries (HHI) on Wednesday announced the launch of a joint venture to manufacture 2-stroke and 4-stroke engines and marine pumps.
A memorandum of understanding (MoU), in this regard, has been signed, which lays out a comprehensive cooperation framework for the joint venture in the Kingdom.
The project not only envisages manufacture of engines and pumps but it will also offer sales and aftersales services in the Middle East and North Africa (MENA).
According to a press release issued by Saudi Aramco, the manufacturing facility will be co-located with the maritime yard in Ras Al-Khair at the King Salman International Complex for Maritime Industries and Services, where it will develop synergies with several complementary ventures.
The joint venture will manufacture 4-stroke engines under HHI’s HiMSEN brand licensing, serving as a regional production stronghold to support the growing demand for electricity in the MENA region as well as marine applications for large and small vessels. It will also operate under a MAN-HHI sublicense for the manufacturing and servicing of 2-stroke engines.
The project is expected to generate over 650 direct jobs, as well as indirect jobs through the development of the supply chain. The joint venture will commence operations by the end of 2019, the press release said.