KBR has won a contract from Saudi Aramco to deliver engineering and project execution services for upgrades at the Marjan offshore field in the Arabian Gulf, a development anchored in a $12bn expansion programme designed to add 300,000 bpd of crude capacity.

The scope covers offshore processing facilities, gas compression and power infrastructure at the field off Saudi Arabia's eastern coast. KBR said the work will support production capacity following recent developments at Marjan and advance the field's gas-processing capability.

Specifically, the contract includes:

• Digital systems deployment across offshore assets
• Automation upgrades
• Power system improvements

KBR said these measures should support long-term operation of the facilities. Engineering activities will run mainly from KBR's offices in Houston, Texas, and Al-Khobar, Saudi Arabia.

What does the award mean for the Marjan programme?

Aramco owns and operates Marjan, an oil and gas field now being expanded under the Marjan Crude Increment Programme, announced in 2017. The programme targets an additional 300,000 bpd of crude production capacity and processing of an extra 2.5 billion standard cubic feet per day of gas from the field.

The gas stream will yield 360,000 bpd of ethane and natural gas liquids.

The programme splits into several work packages with an estimated total investment of $12bn (SR45bn). Offshore packages account for $5bn of that figure; onshore work carries an estimated value of up to $7bn. Following completion, production capacity at Marjan is expected to reach 800,000 bpd.

KBR's award sits within the offshore portion of that spend, focused on the processing, compression and power infrastructure needed to sustain the increment.

How does Marjan fit Aramco's wider offshore push?

The Marjan expansion forms part of Aramco's $18bn programme covering both the Marjan and Berri offshore fields. The wider effort aims to raise crude production capacity by 550,000 bpd and gas capacity by 2.5 bscf/d across the two developments.

The award extends a relationship between the two companies that KBR counts in years of project execution. Jay Ibrahim, president of KBR Sustainable Technology Solutions, said: "For KBR, this award reflects our long project execution relationship with Aramco."

"By combining our deep offshore engineering expertise with advanced automation and digital integration, we aim to help achieve Aramco's expectations," Ibrahim said.

The contract award follows other recent deal-making by the Saudi operator. In August, Aramco entered new agreements and a memorandum of understanding with French companies carrying a potential combined value exceeding $3.7bn (€3.31bn).

What comes next?

The watch items for Marjan are execution milestones on the remaining work packages — offshore packages worth $5bn and onshore scope of up to $7bn — and the ramp toward the field's targeted 800,000 bpd capacity. Gas processing additions, including 2.5 bscf/d of new throughput and 360,000 bpd of ethane and NGL output, will track the same schedule as operators bring the compression and power infrastructure online.