United Arab Emirates-based energy company Lamprell has issued an update on its strategy and development of its presence in Saudi Arabia.
The company is in a joint venture with Saudi Aramco, Bahri and Hyundai Heavy Industries to develop a major maritime yard known as International Maritime Industries.
It is also looking to qualify as a contractor to Saudi Aramco under a long-term agreement (LTA) programme, under which contractors take up offshore engineering, procurement, construction and installation projects in the oil and gas sector.
An important aspect of all LTA projects is the In-Kingdom Total Value Add (IKTVA) programme, which is intended to boost local investment by the LTA contractors.
To achieve the IKTVA commitments, the firm is taking measures by developing its in-Kingdom capabilities and teaming up with local businesses.
A core aspect of the company’s plans to reach the IKTVA goal is through establishment of Lamprell Saudi Arabia (LKSA), a Saudi limited liability company that is a joint venture with Asyad Holdings as a local partner.
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In addition to having a significant regional knowledge, Asyad Holdings is part of a group of companies managing a diversified portfolio of businesses, including working on key projects in the kingdom.
Blofeld Investment Management (Blofeld) has increased its stake in the Lamprell to 10.08%.
Based in Saudi Arabia, Blofeld is a private family fund that is ultimately owned by the same investor from Saudi Arabia that owns Asyad Holdings.
Lamprell CEO Christopher McDonald said: “We are uniquely positioned to build our business in Saudi Arabia with the complementary opportunities of investment in the International Maritime Industries yard and our LTA bid to Saudi Aramco.
“We are committed to developing our local capabilities and we are looking to realise these opportunities by aligning with strong partners in-Kingdom. We are therefore pleased to gain the support from Saudi investors, both as a major shareholder through Blofeld Investment Management and as our local partner in our Saudi joint venture.
“The region has some of the strongest fundamentals in the oil sector and has demonstrated resilient production throughout the market downturn with an exceptional growth strategy going forward. Much of Lamprell’s effort over the past two years focused on building a presence in the region and we are pleased to see our strategy supported by local partners.”