McDermott International has signed a memorandum of understanding (MoU) with Saudi Aramco to expand and develop the company’s physical and human capital within Saudi Arabia.
The MoU is a part of Aramco’s In-Kingdom Total Value Add (IKTVA) initiative.
The company has committed to a nine-initiative plan to increase its contribution to the country’s localization efforts and aid Saudi Aramco in meeting its 2021 objectives. McDermott plans to increase the number of Saudi nationals in its Middle East workforce to 40 percent by 2030.
David Dickson, president and chief executive officer of McDermott said: “As part of our global strategy to enhance our capabilities and deepen customer relationships, this MoU strengthens our long-term plans to transition our Middle East operations to Saudi Arabia, which we believe positions us competitively in the regional market.”
McDermott’s nine-initiative plan expands the company’s local supply chain, develops full-scale fabrication and marine facilities and moves area operations to Saudi Arabia and provides career training and development opportunities for Saudi nationals.
McDermott believes the potential value of the MoU is approximately $2.8 billion and will create up to 2,000 jobs over the next several years.