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Fire Protection Sector Investment Opportunities

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Page 1: Fire Protection Sector - IKTVA · Fire Extinguishers demand is driven by Oil and Gas Industry and its Commercial Applications 2016 2017 58 55 2018 2019 +5% 62 50 53 2015 Fire Extinguishers

Fire Protection Sector

Investment Opportunities

Page 2: Fire Protection Sector - IKTVA · Fire Extinguishers demand is driven by Oil and Gas Industry and its Commercial Applications 2016 2017 58 55 2018 2019 +5% 62 50 53 2015 Fire Extinguishers

Saudi Aramco: Public

DisclaimerThis presentation may contain certain forward-looking statements with respect to Saudi Aramco’s (the “Company”) financial position, results of

operations and business, and certain of the Company’s plans, intentions, expectations, assumptions, goals and beliefs. These statements include all matters that are not historical fact and generally, but not always, may be identified by the use of words such as “believes”, “expects”, “are expected to”, “anticipates”, “intends”, “estimates”, “should”, “will”, “shall”, “may”, “is likely to”, “plans” or similar expressions, including variations and the negatives thereof or comparable terminology.

You should be aware that forward-looking statements are not guarantees of future performance and that the Company’s actual financial position, results of operations and business, and the development of the industries in which it operates may differ materially from those made in or suggested by such forward-looking statements. Factors that could cause actual results to differ materially from the Company’s expectations are contained in cautionary statements in the Company’s Prospectus filed with the Saudi Arabian Capital Markets Authority and available at https://cma.org.sa/en/Market/Prospectuses/Pages/default.aspx (the “Prospectus”) and include, among other things, the following:

• (1) oil and gas supply, demand and price fluctuations; (2) global economic market conditions; (3) competition in the industries in which the Company operates; (4) conditions affecting the transportation of products; (5) operational risk and hazards common in the oil and gas, refining and petrochemicals industries; (6) the cyclical nature of the oil and gas, refining and petrochemicals industries; (7) weather conditions; (8) political and social instability and unrest and actual or potential armed conflicts in the MENA region and other areas; (9) managing the Company’s growth; (10) risks in connection with projects under development and recent and future acquisitions and joint ventures, including with respect to SABIC; (11) managing the Company’s subsidiaries, joint operations, joint ventures, associates and entities in which it holds a minority interest; (12) the Company’s exposure to interest rate risk and foreign exchange risk; (13) risks related to operating in a regulated industry and changes to oil, gas, environmental or other regulations that impact the industries in which the Company operates; and (14) international trade litigation, disputes or agreements.

The Prospectus contains a more complete discussion of the factors that could affect the Company’s future performance and the industries in which it operates. The Company undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. All subsequent written and oral forward-looking statements attributable to the Company or to persons acting on its behalf are expressly qualified in their entirety by the cautionary statements referred to above.

Page 3: Fire Protection Sector - IKTVA · Fire Extinguishers demand is driven by Oil and Gas Industry and its Commercial Applications 2016 2017 58 55 2018 2019 +5% 62 50 53 2015 Fire Extinguishers

Saudi Aramco: Public

Agenda – Fire Protection Sector Investment Opportunities

No. Title of the Investment Opportunity Presenter

1 Fire Extinguishers Khaled AlGhadhban

2 Fire Sprinklers Systems Shahd Telmessani

3 Firefighting Foam Shahd Telmessani

4 Foam Generation Skid Bander AlGhamdi

5 Valves for Fire Water Systems Bander AlGhamdi

6 Fire Hydrants Yousef KashKash

7 Fire Hydrants Mounted Monitor Yousef KashKash

8 Fire Pump Controllers Noora AlGhamdi

Page 4: Fire Protection Sector - IKTVA · Fire Extinguishers demand is driven by Oil and Gas Industry and its Commercial Applications 2016 2017 58 55 2018 2019 +5% 62 50 53 2015 Fire Extinguishers

Fire Extinguishers

Page 5: Fire Protection Sector - IKTVA · Fire Extinguishers demand is driven by Oil and Gas Industry and its Commercial Applications 2016 2017 58 55 2018 2019 +5% 62 50 53 2015 Fire Extinguishers

Saudi Aramco: Public

The opportunity

1. KSA demand was estimated at

62 Millions USD in 2019.

2. Forecasted at ~5% annual

growth and estimated to reach

137 Millions USD for GCC by

2025.

3. Attractive cost base including

low logistics, land, utilities, and

labor costs.

The business case

Fire Extinguishers represents an attractive localization opportunity given the current supply gap and expected demand growth

The opportunity

Establish a state-of-the-art

manufacturing unit of Fire

Extinguishers to serve the

KSA and GCC.

The opportunity

© Saudi Arabian Oil Company, 2020 Source: Saudi Aramco analysis

Page 6: Fire Protection Sector - IKTVA · Fire Extinguishers demand is driven by Oil and Gas Industry and its Commercial Applications 2016 2017 58 55 2018 2019 +5% 62 50 53 2015 Fire Extinguishers

Saudi Aramco: Public

Key Fire Extinguishers Technical Specification:

• SAES-B-019 Portable, Mobile and Special Fixed

Firefighting Equipment

• NFPA 10 Standard for Portable Fire Extinguisher

• UL 711 Rating and Fire Testing of Fire Extinguishers

• UL 154 Carbon-Dioxide Fire Extinguishers

• 9COM: 6000001302

• Fire extinguishers meeting ANSI/UL 711 and

ANSI/UL 154 and the most recent edition of NFPA

10 including accessories and spares; technical

specifications shall meet SAES-B-019

The application are for:

• Oil and Gas Industries.

• Commercial.

Fire Extinguishers are used by Oil and Gas Industries and its Commercial Applications

Page 7: Fire Protection Sector - IKTVA · Fire Extinguishers demand is driven by Oil and Gas Industry and its Commercial Applications 2016 2017 58 55 2018 2019 +5% 62 50 53 2015 Fire Extinguishers

Saudi Aramco: Public

Fire Extinguishers demand in KSA has been growing and was estimated at 62 Millions USD in 2019

Fire Extinguishers demand is driven by Oil and Gas Industry and its Commercial Applications

20172016

5855

2018 2019

+5%

62

5053

2015

Fire Extinguishers

Currently, most of KSA

demand of Fire Extinguishers

for Oil and Gas Industries is

imported

The current market for Fire

Extinguishers in 2019 for KSA

was estimated at 62

Millions USD

KSA historical demand for Fire Extinguishers (Millions USD)

© Saudi Arabian Oil Company, 2020 Source: Saudi Aramco analysis

Page 8: Fire Protection Sector - IKTVA · Fire Extinguishers demand is driven by Oil and Gas Industry and its Commercial Applications 2016 2017 58 55 2018 2019 +5% 62 50 53 2015 Fire Extinguishers

Saudi Aramco: Public

KSA expected market size for Fire Extinguishers (Millions USD)

Fire Extinguishers demand is expected to rise 5% annually and reach 83 Millions USD by 2025

The demand for Fire Extinguishers in KSA is expected to reach around 83 Millions USD by 2025

5%

2020

6571

2023

79

2025

83

2024

75

20222021

68

Fire Extinguishers

© Saudi Arabian Oil Company, 2020 Source: Saudi Aramco analysis

Page 9: Fire Protection Sector - IKTVA · Fire Extinguishers demand is driven by Oil and Gas Industry and its Commercial Applications 2016 2017 58 55 2018 2019 +5% 62 50 53 2015 Fire Extinguishers

Saudi Aramco: Public

GCC expected market size for Fire Extinguishers (Millions USD)

Fire Extinguishers demand for the rest of the GCC will support demand growth

The demand for Fire Extinguishers in the GCC is expected to reach 137 Millions USD by 2025

65 68 71 75 79 83

42 44 46 49 51 54112 117

124

2021

107

130

2020 2022 20242023

137

5%

2025

Saudi Arabia

Rest of GCC

© Saudi Arabian Oil Company, 2020 Source: Saudi Aramco analysis

Page 10: Fire Protection Sector - IKTVA · Fire Extinguishers demand is driven by Oil and Gas Industry and its Commercial Applications 2016 2017 58 55 2018 2019 +5% 62 50 53 2015 Fire Extinguishers

Saudi Aramco: Public

• Establish a Fire

Extinguishers R&D

center to account for the

Harsh environment in

KSA.

• Establish a factory to

manufacture Fire

Extinguishers.

• Small and Medium Enterprises can provide:

a. Metal components.

b. Rubber components.

c. Cylinders.

d. Coating.

• Establish technical support service center to serve requirements for Testing, Maintenance and Troubleshooting of Fire Extinguishers.

• Manufactures to provide spare parts.

Potential investment opportunities related to Fire Extinguishers

Design Manufacturing SME Opportunities Customer Services

Source: Saudi Aramco analysis

Local value chain gaps translate into opportunities to do business in KSA

© Saudi Arabian Oil Company, 2020 Source: Saudi Aramco analysis

Page 11: Fire Protection Sector - IKTVA · Fire Extinguishers demand is driven by Oil and Gas Industry and its Commercial Applications 2016 2017 58 55 2018 2019 +5% 62 50 53 2015 Fire Extinguishers

Fire Sprinklers Systems

Page 12: Fire Protection Sector - IKTVA · Fire Extinguishers demand is driven by Oil and Gas Industry and its Commercial Applications 2016 2017 58 55 2018 2019 +5% 62 50 53 2015 Fire Extinguishers

Saudi Aramco: Public

The opportunity

1. KSA demand was estimated at

59 Millions USD in 2019.

2. Forecasted at ~5% annual

growth and estimated to reach

130 Millions USD for GCC by

2025.

3. Attractive cost base including

low logistics, land, utilities, and

labor costs.

The business case

Fire Sprinklers Systems represents an attractive localization opportunity given the current supply gap and expected demand growth

The opportunityThe opportunity

Establish a state-of-the-art

manufacturing unit of Fire

Sprinklers Systems to serve

the KSA and GCC.

The opportunity

© Saudi Arabian Oil Company, 2020 Source: Saudi Aramco analysis

Page 13: Fire Protection Sector - IKTVA · Fire Extinguishers demand is driven by Oil and Gas Industry and its Commercial Applications 2016 2017 58 55 2018 2019 +5% 62 50 53 2015 Fire Extinguishers

Saudi Aramco: Public

Key Fire Sprinklers Systems Technical Specification:

Sprinkler system components for (9COM: 6000001325) and its

applications are:

• Residential.

• Industrial.

• Hydrocarbon.

System Components include:

• Alarm check

• deluge/pre-action

• dry-pipe valves

• Flow switches

• sprinkler heads/nozzles

• Sprinklers valves

• foam mixers

UL/FM Listed/Approved and complying with the most recent

edition of NFPA 13 Standards for the Installation of Sprinkler

Systems

Fire Sprinklers Systems are used by Oil and Gas Industries and Commercial Applications

Page 14: Fire Protection Sector - IKTVA · Fire Extinguishers demand is driven by Oil and Gas Industry and its Commercial Applications 2016 2017 58 55 2018 2019 +5% 62 50 53 2015 Fire Extinguishers

Saudi Aramco: Public

Fire Sprinklers Systems demand in KSA has been growing and was estimated at 59 Millions in 2019 for KSA

Fire Sprinklers Systems demand is driven by Oil and Gas Industries and Commercial Applications in the region

20172016

5653

2018 2019

+5%

59

4850

2015Fire Sprinklers Systems

Currently, most of KSA

demand of Fire Sprinklers

Systems is imported

The current market for Fire

Sprinklers Systems in 2019 for

KSA was estimated at 59

Millions USD

KSA historical demand for Fire Sprinklers Systems (Millions USD)

© Saudi Arabian Oil Company, 2020 Source: Saudi Aramco analysis

Page 15: Fire Protection Sector - IKTVA · Fire Extinguishers demand is driven by Oil and Gas Industry and its Commercial Applications 2016 2017 58 55 2018 2019 +5% 62 50 53 2015 Fire Extinguishers

Saudi Aramco: Public

KSA expected market size for Fire Sprinklers Systems (Millions USD)

Fire Sprinklers Systems demand is expected to rise 5% annually and reach 79 Millions USD by 2025

The demand for Fire Sprinklers Systems in KSA is expected to reach around 79 Millions USD by 2025

5%

2020

6168

2023

75

2025

79

2024

71

20222021

65

Fire Sprinklers Systems

© Saudi Arabian Oil Company, 2020 Source: Saudi Aramco analysis

Page 16: Fire Protection Sector - IKTVA · Fire Extinguishers demand is driven by Oil and Gas Industry and its Commercial Applications 2016 2017 58 55 2018 2019 +5% 62 50 53 2015 Fire Extinguishers

Saudi Aramco: Public

GCC expected market size for Fire Sprinklers Systems (Millions USD)

Fire Sprinklers Systems demand for the rest of the GCC will support demand growth

The demand for Fire Sprinklers Systems in the GCC is expected to reach 130 Millions USD by 2025

61 65 68 71 75 79

40 42 44 46 49 51107 112 117

2021

101

124

2020 2022 20242023

130

5%

2025

Saudi Arabia

Rest of GCC

© Saudi Arabian Oil Company, 2020 Source: Saudi Aramco analysis

Page 17: Fire Protection Sector - IKTVA · Fire Extinguishers demand is driven by Oil and Gas Industry and its Commercial Applications 2016 2017 58 55 2018 2019 +5% 62 50 53 2015 Fire Extinguishers

Saudi Aramco: Public

• Establish a Fire

Sprinklers Systems

design and R&D center

to develop designs for

KSA requirements

• Establish a factory to

manufacture Fire

Sprinklers Systems.

• Small and Medium

Enterprises can provide:

a. Sprinkle Heads.

b. Sprinklers Systems

Valves.

• Establish technical support service center to serve requirements for Testing, Maintenance and Troubleshooting of Fire Sprinklers Systems.

Potential investment opportunities related to Fire Sprinklers Systems

Design Manufacturing SME Opportunities Customer Services

Local value chain gaps translate into opportunities to do business in KSA

© Saudi Arabian Oil Company, 2020 Source: Saudi Aramco analysis

Page 18: Fire Protection Sector - IKTVA · Fire Extinguishers demand is driven by Oil and Gas Industry and its Commercial Applications 2016 2017 58 55 2018 2019 +5% 62 50 53 2015 Fire Extinguishers

Firefighting Foam

Page 19: Fire Protection Sector - IKTVA · Fire Extinguishers demand is driven by Oil and Gas Industry and its Commercial Applications 2016 2017 58 55 2018 2019 +5% 62 50 53 2015 Fire Extinguishers

Saudi Aramco: Public

The opportunity

1. KSA demand was estimated at

76 Millions USD in 2019.

2. Forecasted at ~2% annual

growth and estimated to reach

140 Millions USD for GCC by

2025.

3. Attractive cost base including

low logistics, land, utilities, and

labor costs.

The business case

Firefighting Foam represents an attractive localization opportunity given the current supply gap and expected demand growth

The opportunityThe opportunity

Establish a state-of-the-art

manufacturing unit of

Firefighting Foam to serve

the KSA and GCC.

The opportunity

© Saudi Arabian Oil Company, 2020 Source: Saudi Aramco analysis

Page 20: Fire Protection Sector - IKTVA · Fire Extinguishers demand is driven by Oil and Gas Industry and its Commercial Applications 2016 2017 58 55 2018 2019 +5% 62 50 53 2015 Fire Extinguishers

Saudi Aramco: Public

Key Firefighting Foam Technical Specification:

AR-AFFF Foam 6000001356 and AR-AFFF Foam 1001008566:

• FOAM; AR-AFFF 1%X3% ALCHOHOL RESSISTANT AQUEOUS FIL-

FORMING FOAM

• C-6 MATERIALS TYPE,FOR FIREFIGHTING HYDROCARBON FIRES

CONTAINING

• MTBE AND ALCHOHOL CONTENT UPTO 15% BLEND.,265

GALONS,UL 162

• NFPA11 LAST FIRE LATEST,FOR CONVENTIONAL OR POLAR

FIRES, UL

• LISTED & FM-APPROVED LIQUID, ALCOHOL RESISTANT AQUEOUS

FILM

• FORMING FOAM (AR AFFF) EFFECTIVE ON HYDROCARBON FIRES

AT 1%

• CONCENTRATION AND 3% CONCENTRATION FOR POLAR

SOLVENT FIRES.

AFFF Mil-Spec Foam MN:1000124997 For offshore/aviation

fixed foam systems and aviation fire trucks.

Fluoro protein Foam MN: 1000125111 For fixed foam systems.

Firefighting Foam are used by Oil and Gas Industries

Page 21: Fire Protection Sector - IKTVA · Fire Extinguishers demand is driven by Oil and Gas Industry and its Commercial Applications 2016 2017 58 55 2018 2019 +5% 62 50 53 2015 Fire Extinguishers

Saudi Aramco: Public

Firefighting Foam demand in KSA has been growing and was estimated at 76 Millions in 2019

Firefighting Foam demand is driven by Oil and Gas industries in the region

20172016

7472

2018 2019

+2%

7670 71

2015

Firefighting Foam

Currently, most of KSA

demand of Firefighting Foam

is imported

The current market for

Firefighting Foam in 2019 for

KSA was estimated at 76

Millions USD

KSA historical demand for Firefighting Foam (Millions USD)

© Saudi Arabian Oil Company, 2020 Source: Saudi Aramco analysis

Page 22: Fire Protection Sector - IKTVA · Fire Extinguishers demand is driven by Oil and Gas Industry and its Commercial Applications 2016 2017 58 55 2018 2019 +5% 62 50 53 2015 Fire Extinguishers

Saudi Aramco: Public

KSA expected market size for Firefighting Foam (Millions USD)

Firefighting Foam demand is expected to rise 2% annually and reach 85 Millions USD by 2025

The demand for Firefighting Foam in KSA is expected to reach around 85 Millions USD by 2025

2%

2020

77 80

2023

83

2025

85

2024

82

20222021

79

Firefighting Foam

© Saudi Arabian Oil Company, 2020 Source: Saudi Aramco analysis

Page 23: Fire Protection Sector - IKTVA · Fire Extinguishers demand is driven by Oil and Gas Industry and its Commercial Applications 2016 2017 58 55 2018 2019 +5% 62 50 53 2015 Fire Extinguishers

Saudi Aramco: Public

GCC expected market size for Firefighting Foam (Millions USD)

Firefighting Foam demand for the rest of the GCC will support demand growth

The demand for Firefighting Foam in the GCC is expected to reach 140 Millions USD by 2025

77 79 80 82 83 85

50 51 52 53 54 55

130 132 135

2021

127137

2020 2022 20242023

140

2%

2025

Saudi Arabia

Rest of GCC

© Saudi Arabian Oil Company, 2020 Source: Saudi Aramco analysis

Page 24: Fire Protection Sector - IKTVA · Fire Extinguishers demand is driven by Oil and Gas Industry and its Commercial Applications 2016 2017 58 55 2018 2019 +5% 62 50 53 2015 Fire Extinguishers

Saudi Aramco: Public

• Establish a Firefighting

Foam design and R&D

center to develop designs

for KSA requirements.

• Establish a factory to

manufacture Firefighting

Foam.

• Small and Medium

Enterprises can provide:

a. Drums and

containers.

• Establish technical support service center to serve requirements for Testing of Firefighting Foam.

Potential investment opportunities related to Firefighting Foam

Design Manufacturing SME OpportunitiesLifecycle

Management

Source: Saudi Aramco analysis

Local value chain gaps translate into opportunities to do business in KSA

© Saudi Arabian Oil Company, 2020 Source: Saudi Aramco analysis

Page 25: Fire Protection Sector - IKTVA · Fire Extinguishers demand is driven by Oil and Gas Industry and its Commercial Applications 2016 2017 58 55 2018 2019 +5% 62 50 53 2015 Fire Extinguishers

Foam Generation Skid

Page 26: Fire Protection Sector - IKTVA · Fire Extinguishers demand is driven by Oil and Gas Industry and its Commercial Applications 2016 2017 58 55 2018 2019 +5% 62 50 53 2015 Fire Extinguishers

Saudi Aramco: Public

The opportunity

1. KSA demand was estimated at

73 Millions USD in 2019.

2. Forecasted at ~5% annual

growth and estimated to reach

160 Millions USD for GCC by

2025.

3. Attractive cost base including

low logistics, land, utilities, and

labor costs.

The business case

Foam Generation Skid represents an attractive localization opportunity given the current supply gap and expected demand growth

The opportunityThe opportunity

Establish a state-of-the-art

manufacturing unit of Foam

Generation Skid to serve the

KSA and GCC.

The opportunity

© Saudi Arabian Oil Company, 2020 Source: Saudi Aramco analysis

Page 27: Fire Protection Sector - IKTVA · Fire Extinguishers demand is driven by Oil and Gas Industry and its Commercial Applications 2016 2017 58 55 2018 2019 +5% 62 50 53 2015 Fire Extinguishers

Saudi Aramco: Public

Key Foam Generation Skid Technical Specification:

Fixed foam generating skids. In-line balanced

proportioning systems and balanced pressure

proportioning systems. Must be UL/FM listed/approved

components for use with the intended foam. Foam

concentrate pumps shall be UL listed and FM approved

rotary gear type

• For mixing foam concentrate with water at a fixed

proportioning rate and control the activation of

foam system.

• SAES-B-018 Foam Systems

• NFPA 16 Standard for the Installation of Foam-Water

Sprinkler and Foam-Water Spray Systems.

• 9COM: 6000001308

Foam Generation Skids are used by Oil and Gas Industries and marines bierth

Page 28: Fire Protection Sector - IKTVA · Fire Extinguishers demand is driven by Oil and Gas Industry and its Commercial Applications 2016 2017 58 55 2018 2019 +5% 62 50 53 2015 Fire Extinguishers

Saudi Aramco: Public

Components of Foam Generation Skid

• Foam Proportioner

• Balancing Diaphragm

• Foam Tank

• Foam Pump

• Pump Controller

• Deluge Valve

• Balance Valve

Foam Proportioner

Balancing Diaphragm

Foam TankFoam Pump

Balance Valve

There are a lot of opportunities for SME to manufacture components for Foam Generation Skid

Page 29: Fire Protection Sector - IKTVA · Fire Extinguishers demand is driven by Oil and Gas Industry and its Commercial Applications 2016 2017 58 55 2018 2019 +5% 62 50 53 2015 Fire Extinguishers

Saudi Aramco: Public

Foam Generation Skid demand in KSA has been growing and was estimated at 73 Millions in 2019

Foam Generation Skid demand is driven by Oil and Gas Industries and marine berths in the region

20172016

6965

2018 2019

+5%

73

5962

2015

Foam Generation Skid

Currently, most of KSA

demand of Foam Generation

Skid is imported

The current market for Foam

Generation Skid in 2019 for

KSA was estimated at 73

Millions USD

KSA historical demand for Foam Generation Skid (Millions USD)

© Saudi Arabian Oil Company, 2020 Source: Saudi Aramco analysis

Page 30: Fire Protection Sector - IKTVA · Fire Extinguishers demand is driven by Oil and Gas Industry and its Commercial Applications 2016 2017 58 55 2018 2019 +5% 62 50 53 2015 Fire Extinguishers

Saudi Aramco: Public

KSA expected market size for Foam Generation Skid (Millions USD)

Foam Generation Skid demand is expected to rise 5% annually and reach 97 Millions USD by 2025

The demand for Foam Generation Skid in KSA is expected to reach around 97 Millions USD by 2025

5%

2020

7684

2023

93

2025

97

2024

88

20222021

80

Foam Generation Skid

© Saudi Arabian Oil Company, 2020 Source: Saudi Aramco analysis

Page 31: Fire Protection Sector - IKTVA · Fire Extinguishers demand is driven by Oil and Gas Industry and its Commercial Applications 2016 2017 58 55 2018 2019 +5% 62 50 53 2015 Fire Extinguishers

Saudi Aramco: Public

GCC expected market size for Foam Generation Skid (Millions USD)

Foam Generation Skid demand for the rest of the GCC will support demand growth

The demand for Foam Generation Skid in the GCC is expected to reach 160 Millions USD by 2025

76 80 84 88 93 97

49 52 55 57 60 63132 139 145

2021

125

153

2020 2022 20242023

160

5%

2025

Saudi Arabia

Rest of GCC

© Saudi Arabian Oil Company, 2020 Source: Saudi Aramco analysis

Page 32: Fire Protection Sector - IKTVA · Fire Extinguishers demand is driven by Oil and Gas Industry and its Commercial Applications 2016 2017 58 55 2018 2019 +5% 62 50 53 2015 Fire Extinguishers

Saudi Aramco: Public

• Establish a Foam

Generation Skid design

and R&D center to

develop designs for KSA

requirements.

• Establish a factory to

manufacture Foam

Generation Skid.

• Small and Medium

Enterprises can provide:

a. Foam Proportioner.

b. Balancing.

Diaphragm.

c. Foam Tank.

d. Foam Pump.

e. Pump Controller.

f. Deluge Valve.

• Establish technical support service center to serve requirements for Testing, Maintenance and Troubleshooting of Foam Generation Skid.

• Manufactures to provide spare parts.

Potential investment opportunities related to Foam Generation Skid

Design Manufacturing SME Opportunities Customer Services

Local value chain gaps translate into opportunities to do business in KSA

© Saudi Arabian Oil Company, 2020 Source: Saudi Aramco analysis

Page 33: Fire Protection Sector - IKTVA · Fire Extinguishers demand is driven by Oil and Gas Industry and its Commercial Applications 2016 2017 58 55 2018 2019 +5% 62 50 53 2015 Fire Extinguishers

Valves for Fire Water Systems

Page 34: Fire Protection Sector - IKTVA · Fire Extinguishers demand is driven by Oil and Gas Industry and its Commercial Applications 2016 2017 58 55 2018 2019 +5% 62 50 53 2015 Fire Extinguishers

Saudi Aramco: Public

The opportunity

1. KSA demand was estimated at

238 Millions USD in 2019

2. Forecasted at ~3% annual

growth and estimated to reach

469 Millions USD for GCC by

2025.

3. Attractive cost base including

low logistics, land, utilities, and

labor costs

The business case

Valves for Fire Water Systems represents an attractive localization opportunity given the current supply gap and expected demand growth

The opportunityThe opportunity

Establish a state-of-the-art

manufacturing unit of

Valves for Fire Water

Systems to serve the KSA

and GCC.

The opportunity

© Saudi Arabian Oil Company, 2020 Source: Saudi Aramco analysis

Page 35: Fire Protection Sector - IKTVA · Fire Extinguishers demand is driven by Oil and Gas Industry and its Commercial Applications 2016 2017 58 55 2018 2019 +5% 62 50 53 2015 Fire Extinguishers

Saudi Aramco: Public

Key Valves for Fire Water Systems Technical Specification:

• Fire water valves for controlling and sectionalizing the

fire water systems.

• SAES-L-108 Selection of Valves

• 9COM: 6000001380

• Valves used in fire water / protection systems. Post

Indicator Valves (PIV), check valves, sectional valves,

outside stem & yolk (OS&Y), gate valves, wall post

indicator valves (WPIV) and control valves. All valves

must be indicating and UL/FM Listed/Approved for fire

water service. Selection of valves material shall

comply with SAES-L-108 for saline environment

classification. All valves shall be prepared and shipped

following manufacturer’s recommendations for outside

long term storage in corrosive, hot, and humid

environment.

Valves for Fire Water Systems are used by Oil and Gas Industries and Commercial Applications

Page 36: Fire Protection Sector - IKTVA · Fire Extinguishers demand is driven by Oil and Gas Industry and its Commercial Applications 2016 2017 58 55 2018 2019 +5% 62 50 53 2015 Fire Extinguishers

Saudi Aramco: Public

Valves for Fire Water Systems demand in KSA has been growing and was estimated at 238 Millions in 2019

Valves for Fire Water Systems demand is driven by Oil and Gas industry and Commercial Applications in the region

20172016

230223

2018 2019

+3%

238

210 217

2015

Valves for Fire Water Controllers

Currently, most of KSA

demand of Valves for Fire

Water Systems is imported

The current market for Valves

for Fire Water Systems in 2019

for KSA was estimated at 238

Millions USD

KSA historical demand for Valves for Fire Water Systems (Millions USD)

© Saudi Arabian Oil Company, 2020 Source: Saudi Aramco analysis

Page 37: Fire Protection Sector - IKTVA · Fire Extinguishers demand is driven by Oil and Gas Industry and its Commercial Applications 2016 2017 58 55 2018 2019 +5% 62 50 53 2015 Fire Extinguishers

Saudi Aramco: Public

KSA expected market size for Valves for Fire Water Systems (Millions USD)

Valves for Fire Water Systems demand is expected to rise 5% annually and reach 284 Millions USD by 2025

The demand for Valves for Fire Water Systems in KSA is expected to reach around 284 Millions USD by 2025

3%

2020

245260

2023

275

2025

284

2024

267

20222021

252

Valves for Fire Water Controllers

© Saudi Arabian Oil Company, 2020 Source: Saudi Aramco analysis

Page 38: Fire Protection Sector - IKTVA · Fire Extinguishers demand is driven by Oil and Gas Industry and its Commercial Applications 2016 2017 58 55 2018 2019 +5% 62 50 53 2015 Fire Extinguishers

Saudi Aramco: Public

GCC expected market size for Valves for Fire Water Systems (Millions USD)

Valves for Fire Water Systems demand for the rest of the GCC will support demand growth

The demand for Valves for Fire Water Systems in the GCC is expected to reach 469 Millions USD by 2025

245 252 260 267 275 284

159 164 169 174 179 185

416 429 441

2021

404454

2020 2022 20242023

469

3%

2025

Saudi Arabia

Rest of GCC

© Saudi Arabian Oil Company, 2020 Source: Saudi Aramco analysis

Page 39: Fire Protection Sector - IKTVA · Fire Extinguishers demand is driven by Oil and Gas Industry and its Commercial Applications 2016 2017 58 55 2018 2019 +5% 62 50 53 2015 Fire Extinguishers

Saudi Aramco: Public

• Establish a Valves for

Fire Water Systems

design and R&D center

to develop designs for

KSA requirements.

• Establish a factory to

manufacture Valves for

Fire Water Systems.

• Small and Medium

Enterprises can provide:

a. Metal attachments.

b. Gaskets.

c. Coating.

• Establish technical support service center to serve requirements for Testing, Maintenance and Troubleshooting of Valves for Fire Water Systems.

• Manufactures to provide spare parts.

Potential investment opportunities related to Valves for Fire Water Systems

Design Manufacturing Final

Assembly Customer Services

Local value chain gaps translate into opportunities to do business in KSA

© Saudi Arabian Oil Company, 2020 Source: Saudi Aramco analysis

Page 40: Fire Protection Sector - IKTVA · Fire Extinguishers demand is driven by Oil and Gas Industry and its Commercial Applications 2016 2017 58 55 2018 2019 +5% 62 50 53 2015 Fire Extinguishers

Fire Hydrants

Page 41: Fire Protection Sector - IKTVA · Fire Extinguishers demand is driven by Oil and Gas Industry and its Commercial Applications 2016 2017 58 55 2018 2019 +5% 62 50 53 2015 Fire Extinguishers

Saudi Aramco: Public

The opportunity

1. KSA demand was estimated at

131 Millions USD in 2019.

2. Forecasted at ~5% annual

growth and estimated to reach

289 Millions USD for GCC by

2025.

3. Attractive cost base including

low logistics, land, utilities, and

labor costs.

The business case

Fire Hydrants represents an attractive localization opportunity given the current supply gap and expected demand growth

The opportunityThe opportunity

Establish a state-of-the-art

manufacturing unit of Fire

Hydrants to serve the KSA

and GCC.

The opportunity

© Saudi Arabian Oil Company, 2020 Source: Saudi Aramco analysis

Page 42: Fire Protection Sector - IKTVA · Fire Extinguishers demand is driven by Oil and Gas Industry and its Commercial Applications 2016 2017 58 55 2018 2019 +5% 62 50 53 2015 Fire Extinguishers

Saudi Aramco: Public

Key Fire Hydrants Technical Specification:

• Wet type fire hydrant for supplying fire water to

fire trucks at refineries, residential, industrial

facilities.

• 21-SAMSS-015 Fire Hydrants

• 9COM: 6000001310

Fire Hydrant Description• HYDRANT FIRE; 6 IN INLET,PR 200 PSI WP,UL OR/AND

FM,COMPLYING

• WITH 21-SAMSS-15. WITH OR WITHOUT FIRE MONITOR

FLANGE. WITH OR

• WITHOUT BREAKABLE FLANGE CHECK VALVE ASSEMBLY

.FOR BREAKABLE

• FLANGE VALVE SEPARATELY. PURCHASE ORDER MUST

SPECIFY THE OPTIONS

• AS PER 21-SAMSS-15: Fire Hydrants

Fire Hydrants are used by Oil and Gas Industries and Commercial Applications

Page 43: Fire Protection Sector - IKTVA · Fire Extinguishers demand is driven by Oil and Gas Industry and its Commercial Applications 2016 2017 58 55 2018 2019 +5% 62 50 53 2015 Fire Extinguishers

Saudi Aramco: Public

Fire Hydrants demand in KSA has been growing and was estimated at 131 Millions in 2019

Fire Hydrants demand is driven by Oil and Gas Industries and Commercial Applications in the region

20172016

124118

2018 2019

+5%

131

106112

2015

Fire Hydrants

Currently, most of KSA

demand of Wet Type Fire

Hydrants is imported

The current market for Fire

Hydrants in 2019 for KSA was

estimated at 131 Millions

USD

KSA historical demand for Fire Hydrants (Millions USD)

© Saudi Arabian Oil Company, 2020 Source: Saudi Aramco analysis

Page 44: Fire Protection Sector - IKTVA · Fire Extinguishers demand is driven by Oil and Gas Industry and its Commercial Applications 2016 2017 58 55 2018 2019 +5% 62 50 53 2015 Fire Extinguishers

Saudi Aramco: Public

KSA expected market size for Fire Hydrants (Millions USD)

Fire Hydrants demand is expected to rise 5% annually and reach 175 Millions USD by 2025

The demand for Fire Hydrants in KSA is expected to reach around 175 Millions USD by 2025

5%

2020

137151

2023

167

2025

175

2024

159

20222021

144

Fire Hydrants

© Saudi Arabian Oil Company, 2020 Source: Saudi Aramco analysis

Page 45: Fire Protection Sector - IKTVA · Fire Extinguishers demand is driven by Oil and Gas Industry and its Commercial Applications 2016 2017 58 55 2018 2019 +5% 62 50 53 2015 Fire Extinguishers

Saudi Aramco: Public

GCC expected market size for Fire Hydrants (Millions USD)

Fire Hydrants demand for the rest of the GCC will support demand growth

The demand for Fire Hydrants in the GCC is expected to reach 289 Millions USD by 2025

137 144 151 159 167 175

89 94 98 103 109 114238 249

262

2021

226

276

2020 2022 20242023

289

5%

2025

Saudi Arabia

Rest of GCC

© Saudi Arabian Oil Company, 2020 Source: Saudi Aramco analysis

Page 46: Fire Protection Sector - IKTVA · Fire Extinguishers demand is driven by Oil and Gas Industry and its Commercial Applications 2016 2017 58 55 2018 2019 +5% 62 50 53 2015 Fire Extinguishers

Saudi Aramco: Public

• Establish a Fire Hydrants

design and R&D center

to develop designs for

KSA requirements.

• Establish a factory to

manufacture Fire

Hydrants.

• Small & Medium

Enterprise can provide

the following components:

a. Copper Alloy

Nozzles/Caps.

b. Gaskets.

c. Coating.

• Establish technical support service center to serve requirements for Testing, Maintenance and Troubleshooting of Fire Hydrants.

• Manufactures to provide spare parts.

Potential investment opportunities related to Fire Hydrants

Design Manufacturing SME Opportunities Customer Services

Source: Saudi Aramco analysis

Local value chain gaps translate into opportunities to do business in KSA

© Saudi Arabian Oil Company, 2020 Source: Saudi Aramco analysis

Page 47: Fire Protection Sector - IKTVA · Fire Extinguishers demand is driven by Oil and Gas Industry and its Commercial Applications 2016 2017 58 55 2018 2019 +5% 62 50 53 2015 Fire Extinguishers

Fire Hydrant Mounted Monitor

Page 48: Fire Protection Sector - IKTVA · Fire Extinguishers demand is driven by Oil and Gas Industry and its Commercial Applications 2016 2017 58 55 2018 2019 +5% 62 50 53 2015 Fire Extinguishers

Saudi Aramco: Public

The opportunity

1. KSA demand was estimated at

25 Millions USD in 2019.

2. Forecasted at ~3% annual

growth and estimated to reach

50 Millions USD for GCC by

2025.

3. Attractive cost base including

low logistics, land, utilities, and

labor costs.

The business case

Fire Hydrant Mounted Monitor represents an attractive localization opportunity given the current supply gap and expected demand growth

The opportunityThe opportunity

Establish a state-of-the-art

manufacturing unit of Fire

Hydrant Mounted Monitor to

serve the KSA and GCC.

The opportunity

© Saudi Arabian Oil Company, 2020 Source: Saudi Aramco analysis

Page 49: Fire Protection Sector - IKTVA · Fire Extinguishers demand is driven by Oil and Gas Industry and its Commercial Applications 2016 2017 58 55 2018 2019 +5% 62 50 53 2015 Fire Extinguishers

Saudi Aramco: Public

Key Fire Hydrant Mounted Monitor Technical Specification:

• 9COM: 6000001314

• 21-SAMSS-016 Firefighting Monitor

• To provide fire protection coverage (cooling) for

structures and vessels inside refineries and

industrial facilities.

• FM approved industrial fixed firefighting monitor

system for seawater and hot marine

environment, complies with 21-SAMSS-016 cast

brass swivel joints, 4 in 150# ANSI flange base,

this monitor and integral valve.

Monitor Nozzle (component)

Fire Hydrant Mounted Monitor are used by Oil and Gas Industries

Page 50: Fire Protection Sector - IKTVA · Fire Extinguishers demand is driven by Oil and Gas Industry and its Commercial Applications 2016 2017 58 55 2018 2019 +5% 62 50 53 2015 Fire Extinguishers

Saudi Aramco: Public

Fire Hydrant Mounted Monitor demand in KSA has been growing and was estimated at 25 Millions USD in 2019

Fire Hydrant Mounted Monitor demand is driven by Oil and Gas Industries in the region

20172016

2423

2018 2019

+3%

25

21 22

2015

Fire Hydrants Mounted Monitor

Currently, most of KSA

demand of Fire Hydrant

Mounted Monitor is imported

The current market for Fire

Hydrant Mounted Monitor in

2019 for KSA was estimated at

25 Millions USD

KSA historical demand for Fire Hydrant Mounted Monitor (Millions USD)

© Saudi Arabian Oil Company, 2020 Source: Saudi Aramco analysis

Page 51: Fire Protection Sector - IKTVA · Fire Extinguishers demand is driven by Oil and Gas Industry and its Commercial Applications 2016 2017 58 55 2018 2019 +5% 62 50 53 2015 Fire Extinguishers

Saudi Aramco: Public

KSA expected market size for Fire Hydrant Mounted Monitor (Millions USD)

Fire Hydrant Mounted Monitor demand is expected to rise 3% annually and reach 30 Millions USD by 2025

The demand for Fire Hydrant Mounted Monitor in KSA is expected to reach around 30 Millions USD by 2025

3%

2020

2527

2023

29

2025

30

2024

28

20222021

26

Fire Hydrants Mounted Monitor

© Saudi Arabian Oil Company, 2020 Source: Saudi Aramco analysis

Page 52: Fire Protection Sector - IKTVA · Fire Extinguishers demand is driven by Oil and Gas Industry and its Commercial Applications 2016 2017 58 55 2018 2019 +5% 62 50 53 2015 Fire Extinguishers

Saudi Aramco: Public

GCC expected market size for Fire Hydrant Mounted Monitor (Millions USD)

Fire Hydrant Mounted Monitor demand for the rest of the GCC will support demand growth

The demand for Fire Hydrant Mounted Monitor in the GCC is expected to reach 50 Millions USD by 2025

25 26 27 28 29 30

16 17 18 18 19 2043 45 46

2021

41

48

2020 2022 20242023

50

3%

2025

Saudi Arabia

Rest of GCC

© Saudi Arabian Oil Company, 2020 Source: Saudi Aramco analysis

Page 53: Fire Protection Sector - IKTVA · Fire Extinguishers demand is driven by Oil and Gas Industry and its Commercial Applications 2016 2017 58 55 2018 2019 +5% 62 50 53 2015 Fire Extinguishers

Saudi Aramco: Public

• Establish a Fire Hydrant

Mounted Monitor design

and R&D center to

develop designs for KSA

requirements.

• Establish a factory to

manufacture Fire Hydrant

Mounted Monitor

• Small and Medium

Enterprises can provide:

a. Copper Alloy

Nozzle.

b. Coating.

• Establish technical support service center to serve requirements for Testing, Maintenance and Troubleshooting of Fire Hydrant Mounted Monitor.

• Manufacturer to provide spare parts.

Potential investment opportunities related to Fire Hydrant Mounted Monitor

Design Manufacturing SME Opportunities Customer Services

Local value chain gaps translate into opportunities to do business in KSA

© Saudi Arabian Oil Company, 2020 Source: Saudi Aramco analysis

Page 54: Fire Protection Sector - IKTVA · Fire Extinguishers demand is driven by Oil and Gas Industry and its Commercial Applications 2016 2017 58 55 2018 2019 +5% 62 50 53 2015 Fire Extinguishers

Fire Pump Controllers

Page 55: Fire Protection Sector - IKTVA · Fire Extinguishers demand is driven by Oil and Gas Industry and its Commercial Applications 2016 2017 58 55 2018 2019 +5% 62 50 53 2015 Fire Extinguishers

Saudi Aramco: Public

The opportunity

1. KSA demand was estimated at

41 Millions USD in 2019.

2. Forecasted at ~5% annual

growth and estimated to reach

89 Millions USD for GCC by

2025.

3. Attractive cost base including

low logistics, land, utilities, and

labor costs.

The business case

Fire Pump Controllers represents an attractive localization opportunity given the current supply gap and expected demand growth

The opportunityThe opportunity

Establish a state-of-the-art

manufacturing unit of Fire

Pump Controllers to serve

the KSA and GCC.

The opportunity

© Saudi Arabian Oil Company, 2020 Source: Saudi Aramco analysis

Page 56: Fire Protection Sector - IKTVA · Fire Extinguishers demand is driven by Oil and Gas Industry and its Commercial Applications 2016 2017 58 55 2018 2019 +5% 62 50 53 2015 Fire Extinguishers

Saudi Aramco: Public

Key Fire Pump Controllers Technical Specification:

• To control the sequential operation and activation of

fire pumps.

• SAES-B-017 Fire Water System Design

• NFPA 20 Standard for the Installation of Stationary

Pumps in Fire Protection

• 9COM: 6000002696

• Fire pump control panel. Must be UL/FM

listed/approved for fire protection.

• 50°C ambient temperature and panel enclosure shall

be

• NEMA 250/NEMA type 4 for onshore and NEMA type 4X

for offshore and near shore environment; for outdoor

with shelter installation. Indoor with air-conditioned

installations are allowed to be only UL/FM approved

without 50 degrees/NEMA 4/4X enclosure. All panels

must be capable of providing the pumps sequencing

functions in SAES-B-017 Fire Water System Design.

Fire Pump Controllers are used by Oil and Gas Industries and Commercial Applications

Page 57: Fire Protection Sector - IKTVA · Fire Extinguishers demand is driven by Oil and Gas Industry and its Commercial Applications 2016 2017 58 55 2018 2019 +5% 62 50 53 2015 Fire Extinguishers

Saudi Aramco: Public

Components of Fire Pump Controllers

• Transformer

• Processor

• Modules

• Body/Casing

There are a lot of opportunities for SME to manufacture components for Fire Pump Controllers

Page 58: Fire Protection Sector - IKTVA · Fire Extinguishers demand is driven by Oil and Gas Industry and its Commercial Applications 2016 2017 58 55 2018 2019 +5% 62 50 53 2015 Fire Extinguishers

Saudi Aramco: Public

Fire Pump Controllers demand in KSA has been growing and was estimated at 41 Millions USD in 2019

Fire Pump Controllers demand is driven by Oil and Gas Industries and Commercial Applications in the region

20172016

3837

2018 2019

+5%

41

33 35

2015

Currently, most of KSA

demand of Fire Pump

Controllers is imported

The current market for Fire

Pump Controllers in 2019 for

KSA was estimated at 41

Millions USD

KSA historical demand for Fire Pump Controllers (Millions USD)

Fire Pump Controllers

© Saudi Arabian Oil Company, 2020 Source: Saudi Aramco analysis

Page 59: Fire Protection Sector - IKTVA · Fire Extinguishers demand is driven by Oil and Gas Industry and its Commercial Applications 2016 2017 58 55 2018 2019 +5% 62 50 53 2015 Fire Extinguishers

Saudi Aramco: Public

KSA expected market size for Fire Pump Controllers (Millions USD)

Fire Pump Controllers demand is expected to rise 5% annually and reach 54 Millions USD by 2025

The demand for Fire Pump Controllers in KSA is expected to reach around 54 Millions USD by 2025

5%

2020

4347

2023

52

2025

54

2024

49

20222021

45

Fire Pump Controllers

© Saudi Arabian Oil Company, 2020 Source: Saudi Aramco analysis

Page 60: Fire Protection Sector - IKTVA · Fire Extinguishers demand is driven by Oil and Gas Industry and its Commercial Applications 2016 2017 58 55 2018 2019 +5% 62 50 53 2015 Fire Extinguishers

Saudi Aramco: Public

GCC expected market size for Fire Pump Controllers (Millions USD)

Fire Pump Controllers demand for the rest of the GCC will support demand growth

The demand for Fire Pump Controllers in the GCC is expected to reach 89 Millions USD by 2025

43 45 47 49 52 54

28 29 31 3234 35

74 78 81

2021

71

86

2020 2022 20242023

89

5%

2025

Saudi Arabia

Rest of GCC

© Saudi Arabian Oil Company, 2020 Source: Saudi Aramco analysis

Page 61: Fire Protection Sector - IKTVA · Fire Extinguishers demand is driven by Oil and Gas Industry and its Commercial Applications 2016 2017 58 55 2018 2019 +5% 62 50 53 2015 Fire Extinguishers

Saudi Aramco: Public

• Establish a Fire Pump

Controllers design and

R&D center to develop

designs for KSA

requirements.

• Establish a factory to

manufacture Fire Pump

Controllers.

• Small and Medium

Enterprises can provide:

a. Transformer.

b. Processor.

c. Modules.

d. Body/Casing.

e. Coating.

• Establish technical support service center to serve requirements for Testing, Maintenance and Troubleshooting of Fire Pump Controllers.

• Manufacturers to provide spare parts.

Potential investment opportunities related to Fire Pump Controllers

Design Manufacturing SME Opportunities Customer Services

Local value chain gaps translate into opportunities to do business in KSA

© Saudi Arabian Oil Company, 2020 Source: Saudi Aramco analysis

Page 62: Fire Protection Sector - IKTVA · Fire Extinguishers demand is driven by Oil and Gas Industry and its Commercial Applications 2016 2017 58 55 2018 2019 +5% 62 50 53 2015 Fire Extinguishers

Saudi Aramco: Public

Please direct all inquiries for the Fire Protection Sector Investment Opportunitiesinvestment to:

Khaled AlGhadhban

Business Development Specialist

Saudi Aramco

[email protected]

Office number: +966-13-874-1417

We invite you to engage with us and send us your Expression of Interest by scanning the QR code or visiting https://iktva.sa/opportunities

Noora AlGhamdi

Business Development Engineer

Saudi Aramco

[email protected]

Office number: +966-13- 874-1703