GulfTek unveils State-of-the-Art Manufacturing Unit in Dammam, plans to invest additional USD 30 million in five years
- The latest plan comes under Saudi Aramco In-Kingdom Total Value Add (IKTVA) program
- The company has added 23,000-square-metre to take the total to around 45,000 square metres of production area in Saudi Arabia.
Dammam, KSA, October 12, 2023: Gulftek (Gulf Technical Factory) an API certified oilfield equipment manufacturing and service facility, announced the grand inauguration of its cutting-edge manufacturing plant under Saudi Aramco In-Kingdom Total Value Add (IKTVA) program, in Dammam, Kingdom of Saudi Arabia. The plant was launched in presence of the Saudi Aramco and Ministry of Investment, marking a watershed moment in the Kingdom’s instrumentation production. In addition to the USD 20 million already committed, the company’s five-year investment plan anticipates an additional USD 30 million investment. In the new facility, the company is putting a forging mill, which will be operational next year. The plant was launched in the presence of the Saudi Aramco and Ministry of Investment, marking a watershed moment in the Kingdom’s instrumentation production.
This strategic move is a testament to Gulftek’s commitment to fostering economic growth and technological advancement in alignment with Saudi Vision 2030. Alongside this facility, the company has added 23,000-square-metre to take the total to around 45,000 square meters of production area in Saudi Arabia.
Mr. Abdullah Al-Shabanat, Vice President Machinery and Energy Cluster, National Industrial Development Center – “It was indeed a pleasure to attend the inauguration of Gulftek‘s state of art manufacturing plant in KSA. I would like to Congratulate the Gulftek team for their investment in the first ever Flowmeter manufacturing plant in Saudi Arabia and very glad to see such high quality products being made in Kingdom”.
The launch of Instrumentation division & local manufacturing plant, marks a significant milestone in Gulftek’s expansion strategy, solidifying its presence in the thriving Oil & Gas and energy landscape of Saudi Arabia to provide world class products and services. The company manufactures highly engineered equipment which can be largely grouped into four categories: drilling rig structures and masts, downhole tools and OCTG equipment, valves and pressure control equipment, and instrumentation fittings and flowmeters.
Equipped with state-of-the-art machinery and cutting-edge technology, the facility is poised to become a hub for precision engineering and advanced manufacturing processes. This strategic investment not only enhances Gulftek’s production capabilities but also contributes to the development of a robust industrial ecosystem in Saudi Arabia. Gulftek’s participation under Saudi Aramco IKTVA program is a testament to the company’s dedication to aligning with the Kingdom’s Vision 2030 objectives, and bolster local manufacturing capabilities, enhance operational efficiency, and contribute to the Kingdom’s goal of increasing the localization of industries.
Commenting on the inauguration, Vikas Handa, Managing Director, Gulftek, stated, “We are thrilled to inaugurate our new manufacturing unit, a testament to our commitment to the economic development of the region. Our investment aligns seamlessly with Saudi Vision 2030’s objectives of diversifying the economy, fostering innovation, and creating high-value job opportunities. The company looks forward to contributing to the Kingdom’s economic diversification, job creation, and technological advancement, thereby playing a pivotal role in the transformation of the region into a global industrial powerhouse.”
The establishment of this manufacturing unit is expected to have a positive impact on the local economy by creating jobs, transferring knowledge, and fostering collaboration with local suppliers. Gulftek is dedicated to nurturing a skilled Saudi workforce through training programs and knowledge transfer initiatives, contributing to the development of a sustainable and self-reliant industrial sector.
Mr Handa, added, “We would like to thank the government of the custodian of the Two Holy Mosques, which launched the kingdom’s Vision 2030 and played a major role in localizing industries and supporting industrialists with stimulating programs such as the IKTVA program, in addition to that it created the investment environment and provided the necessary support, and enhanced the local content, which contributed to making a major qualitative leap for Saudi companies as they became more dependent on the products they provide. The IKTVA program has proved the value of successful collaborations between business, government, and academics. It also boosts our company’s competitiveness, promotes industry collaboration, and delivers innovation to the Kingdom through R&D.”
A testament to Saudi Aramco IKTVA program, Gulftek Saudi facility is proud to have most number of API drilling products manufacturing licenses in Middle East & Europe region. Its instrumentation division manufactures flow meters, Instrumentation fittings, valves, clamps, manifolds and ferrule fittings.
