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East-West Arabian Heavy Crude Pipeline Construction Project
This project involves construction of East-West Arabian Heavy (AH) Crude Pipeline pipeline to transport Arab Heavy oil to the Yanbu Crude Oil Terminal in Saudi Arabia. The project is about Engineering, Procurement and Construction (EPC) contract to build a 48-inch-diameter, 165-kilometer-long pipeline for transporting heavy crude. The pipeline will be an addition to the existing more than 1,200-kilometer, cross-country pipeline connecting Juaymah tank farm in the east of Yanbu, west of the Kingdom. State-run Saudi plans to expand the capacity of its east-west crude pipeline to 7 million barrels per day by the end of year from the current 5 million bpd level, the company said on its Twitter account. The length of the pipeline is 1200 kilometres. Last week, it was announced that Saudi Arabia's state oil giant had discovered new oil and gas fields last year. Industry and mineral resources minister on May 7 and is also Aramco's chairman, said that despite low oil prices, the company has reached record levels of oil production and gas processing. Client is expected to complete the front-end engineering and design (FEED) study by November 2016. Contractors are expected to formally submit their interest to the client earliest by November 2016 for the lump sum turnkey EPC contract. An award is likely in the first quarter of 2017.