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Wednesday, December 17, 2025
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Aramco-DHL JV starts operations at major pipe storage yard in Abqaiq

Aramco-DHL joint venture ASMO has launched operations at the Central Pipe Yard (CPY) in Saudi Arabia’s Eastern Province, strengthening its role as a strategic supply chain partner to Saudi Aramco.

Spanning more than 5 mln square meters near Abqaiq, CPY is ASMO’s largest facility and one of the world’s largest logistics hubs for oil country tubular goods (OCTG) and line pipe materials.

ASMO said CPY supports Aramco’s upstream, downstream, and capital projects by storing and distributing critical pipe materials used in drilling and production. Under ASMO’s management, the focus will be on improving service levels, streamlining material flows, enhancing inventory visibility, and ensuring reliable delivery across Aramco’s supply chain.

With the addition of CPY, ASMO now manages three Aramco logistics facilities, following earlier takeovers of warehousing operations in Riyadh and Jazan.

Looking ahead, ASMO plans to operate six facilities across Saudi Arabia by 2030, including three new sites under its expansion strategy. Total managed storage capacity is expected to exceed 8 mln square meters, with annual procurement spend under management projected to surpass USD 8 bln.

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