Saudi Aramco CEO Amin Nasser said that the company signed contracts for the second phase of the Jafoura field expansion project and the third phase of its main gas network expansion project, with a value exceeding $25 billion.
Saudi Arabia is seeking to develop its unconventional gas reserves, which require advanced extraction methods such as those used in the shale gas sector.
Al-Jafurah is the largest unconventional, non-associated gas field in Saudi Arabia, and it is likely to be the largest shale gas development project outside the United States, with its reserves reaching 229 trillion cubic feet of gas and 75 billion barrels of condensate.
Al-Nasser said, speaking yesterday, Sunday, from Dhahran (eastern Saudi Arabia) during the ceremony of signing contracts for the expansion of the field and the main gas network, “By producing two billion cubic feet per day of natural gas by 2030, this bold initiative will strengthen Saudi Arabia’s position as one of the largest gas producers in the world.” the world”.
He added that expanding the main gas network means extending an additional 4,000 kilometers of pipelines, increasing production capacity by about 3.2 billion cubic feet per day and connecting several cities across the Kingdom to the network.
Project momentum
The companies awarded the Jafurah expansion contracts included a consortium that included Hyundai Engineering and Construction, while the Chinese energy giant Sinopec was among the companies participating in the expansion of the main gas network.
Al Nasser explained that there is a very large momentum in Saudi Aramco’s projects and capital investments as part of its growth strategy, which is positively reflected in the vitality and sustainability of the energy industry in the Kingdom, stressing that expansion in the gas sector is one of the most important growth drivers in the company.
He said: “These contracts demonstrate our firm conviction in the future of gas as an important and growing source of energy in the world, as well as a vital raw material for the refining, chemicals and marketing sectors. It demonstrates the size of our continued investments in developing the giant Jafoura field, which is considered one of the pearls of shale gas in the world, as well as our investment.” In the third expansion of the main gas network, we sought to enhance the integration of our gas business, diversify our business portfolio, and create new job opportunities that support our ambitious national vision, including supporting the Kingdom’s transition towards a low-emission electricity network, where gas and renewable energy sources gradually replace oil and liquid fuels. In generating electricity, making large quantities of liquid fuel available for export.
He stated that these giant projects are being implemented with a major contribution to increasing the localization of the industry, raising the percentage of local content, and generating jobs for Saudis, appreciating the broad partnership of suppliers and service providers for what they have shown of seriousness and the ability to innovate to build and expand the energy infrastructure at a global level.
