Marjan Expansion

  • Type: Rig
  • field
  • Latitude: 28.4389000
  • Longitude: 49.6746000

Marjan Expansion Oil Field Profile

Location and Discovery

  • The Marjan oil and gas field is located in the Arabian Gulf, off the eastern coast of Saudi Arabia, near the Iran-Saudi Arabian water borders. The Iranian portion of the field is known as the Foroozan field.
  • The field was discovered in 1967 by Saudi Aramco geologists.

Ownership and Operation

  • The Marjan oil field is owned and operated by Saudi Aramco, Saudi Arabia’s state-owned oil and gas company.

Existing Infrastructure

  • The existing infrastructure includes three offshore gas-oil separator plants (GOSPs): Marjan GOSP-1, installed in 1973 with a production capacity of 100,000 barrels per day (bpd) of oil and 175 million standard cubic feet per day (Mscfd) of gas; and Marjan GOSP-2 and GOSP-3, brought into operation in 1994, increasing the total production capacity to 600,000 bpd of oil and 675 Mscfd of gas.
  • The oil and gas produced from the GOSPs are piped onshore to the Tanajib complex for further processing, controlled by an onshore control centre.

Marjan Crude Increment Programme (MIP)

  • Announced in 2017, the Marjan Crude Increment Programme aims to expand the field’s production capacity. Here are the key components:
    • Production Increase: The project aims to increase the crude production capacity by 300,000 bpd, reaching a total of 800,000 bpd of Arabian Medium crude oil.
    • Gas Production: The project will process an additional 2.5 billion standard cubic feet per day (Bscfd) of gas and produce 360,000 bpd of ethane and natural gas liquids (NGL).
    • Offshore Development: Includes the construction of a new offshore gas-oil separation plant (Marjan GOSP-4), 24 offshore oil, gas, and water injection platforms, additional tie-in platforms, production decks, subsea export and infield pipelines, and the installation of two 115kV subsea power and communication cables.
    • Onshore Expansion: Involves the expansion of the Tanajib processing complex with the addition of a new gas plant, NGL recovery and fractionation facility, gas compression facilities, a cogeneration facility, and a water desalination facility. The construction of the Tanajib gas plant (TGP) started in 2020 and is expected to be completed in 2025.

Investment and Contracts

  • The total estimated investment for the Marjan increment project is approximately $12 billion, with $5 billion allocated for offshore work packages and up to $7 billion for onshore packages.
  • Saudi Aramco awarded 34 contracts valued at $18 billion for the engineering, procurement, and construction of the Marjan and Berri increment programs. Fifty percent of these contracts were awarded to Saudi Arabian companies to support local content and job creation.

Technological and Innovative Aspects

  • The project involves the use of advanced technologies, including smart helmet technology with artificial intelligence for inspection activities and mechanical testing.
  • It features unprecedented offshore construction, including the installation of the largest platforms, the longest subsea cables, and complex networks of subsea pipelines.

Job Creation and Local Content

  • The project is expected to create thousands of direct and indirect job opportunities for Saudi nationals, supporting Saudi Aramco's efforts to localize and create new job opportunities.
  • The project aims to maximize local content, develop local talent, and increase the utilization of technology and digital solutions.

Project Timeline

  • Front-end engineering and design (FEED) studies began in 2017, and multiple developmental work packages were awarded in 2018 and 2019.
  • The project is expected to be completed by 2025, although some reports suggest that while the project is ongoing, there have been adjustments in broader expansion plans due to market conditions.

Environmental and Sustainability Considerations

  • The investments are part of Saudi Aramco’s strategy to reduce the carbon intensity of its crude oils while meeting growing long-term demand for petroleum. The project supports the company’s goals under the In-Kingdom Total Value Add Program (IKTVA) to increase locally-sourced goods and services.

This expansion is a critical component of Saudi Aramco’s overall strategy to increase its crude oil maximum sustainable capacity and maintain its position as a leading integrated energy supplier.

Flag Name Type Date
QATIF baycraft 11/11/2024
BOUTROS TIDE Towing/Tug 11/11/2024
ZAMIL 64 Other 11/4/2024
CCC PIONEER Other 11/4/2024
RAWABI 410 Other 11/3/2024
EXPRESS 96 Other 10/20/2024
AOS EAGLE baycraft 10/19/2024
ALLIANZ T0URMALINE Other 10/18/2024
SEA CONQUEST Other 10/14/2024
STANFORD PUMA Other 10/12/2024
ALLIANZ ARISTON Pleasure 10/10/2024
ALLIANZ ARISTON Pleasure 10/10/2024
AOS EAGLE baycraft 10/10/2024
EXPRESS 96 Other 10/9/2024
HIGHLAND PRINCESS baycraft 10/9/2024
EXPRESS 96 Other 10/3/2024
EXPRESS 96 Other 9/28/2024
RAWABI 410 Other 9/28/2024
ZAMIL-L.B.6 Other 9/28/2024
BGP GLORY baycraft 9/28/2024
BGP COMMANDER baycraft 9/28/2024
BGP COMMANDER baycraft 9/28/2024
BGP COMMANDER baycraft 9/27/2024
RAWABI 407 Other 9/27/2024
BGP GLORY baycraft 9/25/2024
BGP GLORY baycraft 9/25/2024
BGP GLORY baycraft 9/24/2024
BGP CHALLENGER baycraft 9/21/2024
BRITOIL 74 Towing/Tug 9/20/2024
CHAYARI TIDE Towing/Tug 9/20/2024
BRITOIL 74 Towing/Tug 9/20/2024
BRITOIL 74 Towing/Tug 9/20/2024
DELTA XX Other 9/19/2024
SEVEN_CHAMPION Other 9/18/2024
ZAKHER FALCON Towing/Tug 9/19/2024
BRITOIL 74 Towing/Tug 9/19/2024
BRITOIL 74 Towing/Tug 9/19/2024
BRITOIL 121 baycraft 9/18/2024
BRITOIL 74 Towing/Tug 9/18/2024
DONGFANG KANTAN NO1 baycraft 9/17/2024
RAWABI 410 Other 9/17/2024
BRITOIL 121 baycraft 9/17/2024
DONGFANG KANTAN NO1 baycraft 9/16/2024
RAWABI 410 Other 9/16/2024
BGP CHALLENGER baycraft 9/16/2024
DONGFANG KANTAN NO1 baycraft 9/16/2024
DONGFANG KANTAN NO1 baycraft 9/14/2024
DONGFANG KANTAN NO1 baycraft 9/14/2024
BGP CHALLENGER baycraft 9/13/2024
BGP CHALLENGER baycraft 9/13/2024
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