Bahraini part of new pipeline underway

Manama, Nov. 25 (BNA): Energy Minister Abdul Hussain bin Ali Mirza said he expects the tenders to be awarded in a few months for implementation of the new oil pipeline link between the Kingdom of Bahrain and the Kingdom of Saudi Arabia. The Bahraini part of the new pipeline will extend for a distance of 31 kilometres.

Speaking on the side-lines of Jewellery Arabia2015, the minister said an agreement has recently been signed to implement two sections of the oil pipeline.

The first section spans 40 kilometres into the Saudi mainland and the second section spans 40 kilometres into Arabian Gulf waters.

Dr. Mirza said the new pipeline will boost capacity from 230,000 to 350,000 barrels per day. The increase of 100,000 barrels per day will help modernize Bahrain Refinery and boost its refining capacity from 260,00 to 360,000 per day.

The minister said the oil pipeline was first constructed between the two Kingdoms in 1945, seventy years ago, and our brethren over the years did not fail to supply 230,000 barrels per day of Saudi crude oil to Bahrain processed in Bahrain Refinery besides the use of 50,000 barrels per day from Bahrain Oilfield.

The minister said the total crude oil used in oil derivatives production is 95 million barrels per year, including 10% consumed locally and 90% exported to various parts of the world. He affirmed the new oil pipeline project will help maintain Bahrain Refinery in a competitive position for many years to come.

Bahrain Petroleum (Bapco) signed agreement with Saudi Aramco regarding the new oil pipeline which will connect Bahrain and Saudi Arabia spanning 115 kilometres.

Al Rabee’ Holding from the Kingdom of Saudi Arabia won the contract to construct the land part of the pipeline. Meanwhile, United Arab Emirates (UAE)-based National Petroleum Construction won the contract to implement the sea part of the project.


I.Y

BNA 1014 GMT 2015/11/25

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