Saudi Arabia’s state oil company, Aramco, has signed contracts worth over $25 billion for the second phase of the expansion of its Jafurah gas field and the third phase of expanding its main gas network.
This announcement was made by Aramco CEO Amin Nasser on Sunday.
Saudi Arabia is focusing on developing its unconventional gas reserves, which require advanced extraction methods similar to those used in the shale gas industry.
The Jafurah gas field is the kingdom’s largest unconventional non-oil-associated gas field and is considered the biggest shale gas development outside the United States, with reserves estimated at 229 trillion cubic feet of gas and 75 billion barrels of condensates.
Nasser highlighted the significance of this development, stating, “By generating an anticipated 2 billion standard cubic feet per day of sales gas by 2030, this bold initiative will strengthen Saudi Arabia’s position as one of the top national gas producers in the world.”
He made these remarks during a contracts award ceremony in Dhahran.
The expansion of the main gas network will add 4,000 more kilometers of pipelines, boosting capacity by about 3.2 billion standard cubic feet per day. This expansion will also connect several additional cities across the country to the network.
Among the companies awarded contracts for the Jafurah expansion is a consortium involving Hyundai Engineering & Construction. Chinese state energy giant Sinopec is among the firms involved in expanding the main gas network.
