Aramco signs over $25 bln of deals for main gas network and Jafurah gas field (updated)

Hyundai Engineering & Construction Co

30/06/2024 13:46

(Recasts with Aramco CEO comments, adds details, background on
Jafurah)
       CAIRO/DUBAI, June 30 (Reuters) - Saudi Arabia's state
oil company Aramco  2223.SE  has signed contracts worth more
than $25 billion for the second phase of the expansion of its
Jafurah gas field and the third phase of expanding its main gas
network, its CEO Amin Nasser said on Sunday.
    Saudi Arabia is working on developing its unconventional gas
reserves, which require advanced extraction methods such as
those used in the shale gas industry.
    Jafurah is the kingdom's largest unconventional non-oil
associated gas field and is potentially the biggest shale gas
development outside the United States, with reserves reaching
229 trillion cubic feet of gas and 75 billion barrels of
condensates.
    "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", said Nasser, speaking of the
Jafurah field at a contracts award ceremony in Dhahran.
    The main gas network expansion will add 4,000 more
kilometers of pipelines, boosting capacity by around 3.2 billion
standard cubic feet per day and connecting several additional
cities from across the country to the network, he said.
    Companies awarded contracts for the expansion in Jafurah
included a consortium involving Hyundai Engineering &
Construction  000720.KS , while Chinese state energy giant
Sinopec  600028.SS  figured among the firms involved in the main
gas network expansion. 

 (Reporting by Jaidaa Taha, Adam Makary in Cairo and Federico
Maccioni in Dubai; Editing by Timothy Heritage and David Holmes)
 ((Jaidaa.Ahmad@thomsonreuters.com))