LONDON, 23 July 2003 — Saudi Arabia invited tenders for three giant natural gas exploration projects in the latest step in the reopening of its huge energy reserves to foreign companies at a meeting here yesterday.
About 40 handpicked foreign companies attended the gathering to hear Saudi Arabia’s oil minister, Ali Al-Naimi, pitch the projects, each with an area of between 30,000 and 50,000 sq kilometers (19,000 to 31,500 sq miles). Naimi described the conference as “an important landmark in the history of the Kingdom’s petroleum industry”.
“This offering presents your companies with a historic opportunity to establish a long-term partnership with the Kingdom of Saudi Arabia,” he added.
“We are committed to creating an environment that is even more attractive to private investment,” he said, according to a copy of his speech released to reporters. The meeting was held behind closed doors.
Companies interested in vying for the projects were told to bid soon after receiving final details within three months, with a decision expected from Saudi Arabia by early next year. Firms from Britain, Canada, China, France, Germany, India, Italy, Japan, the Netherlands, Malaysia, Russia and the United States were invited to the gathering.
Last week the Kingdom granted a major gas exploration and production project to a consortium led by Royal Dutch/Shell and also comprising French firm Total and state-owned oil giant Saudi Aramco.
That deal came more than two years after Saudi Arabia signed preliminary agreements with oil majors for three projects.
