DHL wins major logistics contract with Saudi Aramco

Logistics Insight Asia, 1/9/2007

DHL Exel Supply Chain has concluded a 10-year multi-million dollar contract with the world’s number one crude oil producer, Saudi Aramco. It represents one of the largest business deals ever achieved by DHL Exel Supply Chain in the region.

Under the terms of the agreement, DHL will develop the oil giant’s national logistics infrastructure. This encompasses the provision, management and operation of four Material Distribution Centers (MDC) or Cross-Docks in Dammam, Riyadh, Jiddah and Yanbu, of a fleet of vehicles and personnel as well as 14 Material Service Centers (MSC). DHL will also set up a system enabling the customers of Saudi Aramco to track the transport of their orders in real time on the Internet.

Mohammed Otaibi, Manager, Material Logistics, Saudi Aramco, said: “DHL Exel Supply Chain in Saudi Arabia will replace the current fragmented logistics arrangements with an integrated supply chain service. We are delighted to embark on this long term and important commercial relationship with DHL, in the knowledge that their logistics expertise represents a perfect strategic fit with our Kingdomwide business.” [ ]