Nacap awarded € 235 million contract

The scope consists of 506 km 30" pipeline, three pump stations, metering systems, substation buildings and maintenance. The pipelines are planned to transport diesel and kerosene from the refineries in Ras Tanura to Riyadh and also to Dhahran and Al-Hasa along the way. The project must be completed by December 2011.

Victor Aquina, CEO of NACAP comments: "The cooperation with Saudi Aramco in this project phase has been excellent. We have been able to create mutual understanding and reach agreement about all aspects of the project. Our organisations are well aligned to make this a success. Converting our initial unit pricing to a Lump Sum Turn Key project is an innovative approach and we are proud to be the preferred partner to Saudi Aramco for this project. This is an important step of Nacap's continuing expansion in the Middle East and emphasises our capabilities as an EPC contractor."

This EPC (engineering, procurement and construction) contract is the result of six month's work of conceptual design and front-end engineering of the pipeline, in an initial phase called Convert to Lump Sum Turn Key (CLSTK). Nacap has completed this phase together with its subcontractor Jacobs Engineering Group Inc. in Reading (Berkshire), UK. This has resulted in fair estimates of the project materials and construction requirements, on basis of which a Lump Sum Turn Key (LSTK) contract price of € 235 million has been negotiated. Nacap will be responsible to complete the project design, material procurement and construction & commissioning of the project.