Dubai’s Oilfields Supply Centre to invest $450 million over the next 2 years to boost energy sector SMEs in Saudi Arabia
The Dubai-based Oilfields Supply Centre (OSC) has signed an agreement with Saudi Arabia’s King Salman Energy Park that will make OSC an anchor tenant at the Spark energy city megaproject, Saudi Aramco confirmed.
OSC will work in collaboration with Saudi Aramco to develop a premium business incubator named the Common User Supply Base (CUSB) to accelerate the growth of SMEs in the energy sector. It will also support the Kingdom’s oil and gas industry for achieving long term goals.
OSC’s initial plan is to invest approximately $450 million over the course of next two years.
According to Arabian Business, CUSB is going to become an industrial facility providing different sized buildings to host companies and support them with logistics, engineering and technical services along with business reports. It will be first one of its kind in the entire Saudi Arabia, as well as the largest in the region. The planned footprint is over 1 million square meters, with a potential expansion plan of an additional 500,000 square meters.
“OSC’s investment marks an important part in Spark’s journey to become an integrated energy, industrial, technology and services hub,” said Saudi Aramco president and CEO Amin Nasser.
“It will contribute to supply chain localisation, boost job creation and support the overall advancement of the kingdom’s energy sector.”
The Director and General Manager of Corporate Affairs at OSC, Iqbal Mohammed Abedin, believes the investment in Spark will “position the project as a major enabler for oil and gas manufacturing and service companies and related SMEs.”
“It will enhance their localisation plans by both increasing local procurement and value added manufacturing activities, as well as increasing the employment of Saudi nationals,” he said.