The company's latest plan comes under the umbrella of Saudi Aramco's program to enhance the total added value of the supply sector in the Kingdom, "Iktva"

The company is adding an area estimated at 23 thousand square meters to increase the total area of the production area to 45 thousand square meters in the Kingdom of Saudi Arabia.

Dammam, Kingdom of Saudi Arabia: Gulftek (Gulf Technical Factory), which specializes in services and manufacturing operations for oil field equipment that is API-certified, announced the opening of its advanced factory in the Kingdom of Saudi Arabia under the umbrella of the Saudi Aramco program. To enhance the total added value of the “Iktva” supply sector. The new factory was launched in the presence of representatives of Saudi Aramco and the Saudi Ministry of Investment, representing a turning point in the hardware and equipment production sector in the Kingdom. In addition to the previously announced $20 million, the company's five-year investment plan includes allocating an additional investment of $30 million in the Kingdom.

This strategic step is considered a testimony to Gulf Tech’s commitment to promoting economic growth and technological development in line with the Kingdom’s Vision 2030. In addition to this facility, Gulf Tech worked to increase its production space in the Kingdom by adding 23,000 square meters to increase the area. The total production area is approximately 45 thousand square meters.

Vice President of the Equipment and Machinery Sector at the National Center for Industrial Development, Abdullah Al-Shabanat, said: “I am truly pleased to attend the opening ceremony of the modern Gulf Tech factory in the Kingdom of Saudi Arabia. I would like to congratulate the Gulf Tech team on their investment in the first ever factory to produce flow meters.” In the Kingdom, it gives me great pleasure to witness the manufacture of such high-quality products in Saudi Arabia.”

The launch of the local manufacturing facility represents an important milestone in Gulf Tech’s expansion strategy, with the aim of consolidating its presence in the thriving oil and gas sector in the Kingdom of Saudi Arabia, by providing world-class products and services. The company manufactures high-tech equipment that can be broadly classified into four categories: rig structures and masts, downhole tools and tubular equipment for oil drips, valves and pressure control equipment, instrument connections and flow meters.

The facility, which is equipped with highly advanced machines and modern technology, is poised to become a center for advanced engineering and manufacturing operations. This strategic investment not only contributes to enhancing Gulf Tech's production capabilities, but also to developing a strong industrial ecosystem in the Kingdom of Saudi Arabia. Gulf Tech’s participation in the “Iktva” program launched by Saudi Aramco is evidence of the company’s commitment to comply with the objectives of the Kingdom’s Vision 2030, enhance local manufacturing capabilities, improve operational efficiency, and contribute to supporting the Kingdom’s goal of increasing the localization of industries.

On this occasion, Vikas Handa, Managing Director of Gulf Tech, said: “We are excited to inaugurate our new factory, which serves as evidence of our commitment to supporting the economic development of the Kingdom. Our investment comes in line with the goals of the Kingdom’s Vision 2030 of diversifying the economy, promoting innovation and creating High-value jobs. We look forward to contributing to supporting the Kingdom’s economic diversification plans, creating new job opportunities, and promoting technical progress, thus playing a pivotal role in the country’s transformation into a global industrial power.”

It is expected that the establishment of this factory will have a positive impact on the local economy by creating new job opportunities, transferring knowledge, and enhancing cooperation with local suppliers. Gulf Tech devotes its efforts to developing a Saudi workforce with high skills and competencies through the implementation of training programs and knowledge transfer initiatives, which contributes to the development of a sustainable and self-sufficient industrial sector.

Handa added: “We would like to thank the Saudi government, which launched the Kingdom’s Vision 2030 and played a pivotal role in localizing industries and supporting industrialists through incentive programs such as the “Iktva” program, as well as its tireless efforts to provide a favorable investment environment and other components. necessary for business growth, in addition to increasing the value of local content, which contributed to Saudi companies achieving a major qualitative leap in that they became more dependent on the products they provide. The “Kitfa” program has proven the value of successful cooperation relationships between the business sector, government agencies, and academic circles, and has also contributed “It also aims to enhance our company’s competitiveness, raise levels of industrial cooperation, and support innovations in the Kingdom through research and development.”

The Gulf Tech facility in Saudi Arabia is proud to have the largest number of licenses to manufacture API-certified drilling products in the Middle East and Europe. The products manufactured by the Instrumentation and Equipment Division range from flow meters, instrument connections, valves, clamps, manifolds and ferrule fittings.

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About Gulf Tech:

The company was established in 2017, after the announcement of the Kingdom’s Vision 2030 and the “Iktva” initiative to enhance the total value added to the supply sector, launched by Saudi Aramco. As part of its efforts to provide reliable engineering products and services, Gulf Tech has invested in a highly advanced manufacturing unit that holds seven industrial licenses accredited by the American Petroleum Institute to manufacture pressure control equipment, tubular equipment for oil diameters, and downhole equipment. The company is distinguished by a team with high experience in the fields of engineering, research and development, with the ability to design products that are API, ASME and DNV certified, including components for drilling rigs, valves, flow lines, and manifolds, in addition to providing distinguished engineering services, including rebuilding Certification, rental, and services of fixed and rotating equipment.

GulfTech has also developed technology partnerships with global leaders to manufacture flow meters, instrument connectors and valve actuators, as well as providing world-class services locally in the Middle East region. The company's score on the "Iktva" program index is considered the highest among its peers in the country, as the company continues to invest in and train the local workforce.

© Press Release 2023