Aramco signs 59 new agreements under Iktva program – Saudi Gazette

Aramco signs 59 new agreements under Iktva program – Saudi Gazette

HAHRAN — Saudi Aramco signed Tuesday 59 corporate procurement agreements (CPAs) with 51 local and global manufacturers, with potential to create 5,000 new jobs in Saudi Arabia over the next decade.

The agreements, valued at $11 billion, are expected to reinforce Aramco’s robust supply chain and result in the development of materials manufacturing facilities in the Kingdom.

The 59 CPAs cover multiple strategic commodities, such as drilling chemicals, wellheads, switchgears, vibration monitoring systems, pipes, compressors, structure steel, fittings and flanges, and air-cooled heat exchangers.

Among the companies signing the agreements were Baker Hughes, Cameron Al Rushaid, Halliburton, SLB, and TechnipFMC. The CPAs fall under a strategic pillar of the Aramco in-Kingdom Total Value Add program (iktva), wherein they are used to establish long-term agreements and commitments with supplier partners.

Ahmad A. Al-Sa’adi, Aramco senior vice president of technical services, said: “Our significant investments in a network of accomplished local suppliers strengthens Aramco’s resilience, ensuring that we remain the world’s most reliable energy company.

“We are also extensively building commercial ecosystems globally by partnering with some of the world’s top energy, logistics, and manufacturing companies.”

Mohammad A. Al-Shammary, Aramco vice president of procurement and supply chain management, said: “The CPA holders will be our future strategic manufacturing