As preparatory work begins on implementing contracts for a new oil pipeline linking Bahrain and Saudi Arabia, another significant project is expected to be taken up in Saudi Arabia following the cabinet’s approval for Saudi Aramco to build petrol pipelines to Riyadh and set up new stations in remote rural areas.

Beyond the announcement of the approval there were no details except that all petrol stations must have at least a 20-day reserve of fuel.

Saudi Al-Rabie Holding Company won the contract of building the Bahrain-Saudi land line while the UAE National Petroleum Construction Company will take charge of the under-sea part of the project.

The new 115-km pipeline (42 km under water and 73 km on land) is expected to cater to the growing demand for crude oil after implementation of the Bapco Refinery Modernisation Project.

Elsewhere in Saudi Arabia, work is in progress on a contract that Saudi Aramco has granted China’s Sepco to help expand the capacity of the main gas pipeline across Saudi Arabia, which dates back to the 1970s. The project will improve energy supplies to industries in the kingdom’s west.

Under the first phase of an expansion of the master gas system (MGS), Sepco will install two booster gas compressor stations. Those benefiting from the project include King Abdullah Economic City, PetroRabigh and an independent power plant.

Sepco’s work is expected to be completed by the end of 2016 and when that happens the capacity of the MGS will rise to 9.6 billion cu ft of gas per day from 8.4 billion. Under a second phase, capacity will further increase to 12.5 billion cfd by 2018.

A contract that Japan’s JGC Corporation has won to build shale gas facilities in the northwest of Saudi Arabia has a pipeline component along with the construction of processing facilities and wellheads in Turaif where a big mining project called Waad Al Shamal is under development.

A Singapore firm, Ezra Holdings, which operates as a contractor and provider of integrated offshore solutions to the oil and gas industry, announced that its Subsea Services Division, Emas AMC, has signed a six-year agreement with Saudi Aramco as part of a constortium with India’s Larsen & Toubro Hydrocarbon Engineering (LTHE). Under the agreement, LTHE and Emas AMC will execute offshore projects with Saudi Aramco involving, among other things, the fabrication, transportation and installation of offshore facilities such as pipelines, platforms and submarine cables.

In other pipeline news concerning Saudi Arabia, a study is in progress between Swagelining Limited, Saudi Aramco and The Welding Institute (TWI) to conduct investigations into the use of polymer lining in carbon steel pipelines. The joint industrial project (JIP) will examine the extent of corrosion incurred in a polymer-lined pipeline when subjected to a sour hydrocarbon fluid environment.

“We are delighted to be working closely with Saudi Aramco and TWI on this JIP. When compared with corrosion resistant alloys, polymer lining systems are attracting growing interest within the pipeline industry. This comes as a result of significant cost advantages, increased corrosion prevention and reduced fabrication and installation time.” said Dr Steve Brogden, technical engineering manager at Swagelining Limited

“All three parties felt that it was time to build upon this interest and demonstrate concrete evidence of how polymer lining can perform under a range of conditions.”

The 30-month joint industry project began in October 2014.