Title: Aramco Awards Contracts Worth over $25 Billion for Gas Expansion Projects

Saudi Arabian Oil Company (Aramco) has recently announced the awarding of contracts worth more than $25 billion to accelerate its strategic gas expansion plans. These contracts aim to support the growth of Aramco's gas production, diversify its portfolio, and add significant volumes of ethane, natural gas liquids (NGL), and condensate.

The contracts include the second phase development of the Jafurah gas field, expansion of Aramco's Master Gas System, the addition of new gas rigs, and ongoing capacity maintenance. Jafurah, a vast unconventional gas field, is estimated to contain an impressive 229 trillion standard cubic feet of raw gas and 75 billion Stock Tank Barrels of condensate.

For the Jafurah development program alone, Aramco has awarded 16 contracts totaling around $12.4 billion. This phase will involve constructing gas compression facilities and associated pipelines, expanding the Jafurah Gas Plant, and constructing the Riyas Natural Gas Liquids (NGL) fractionation facilities in Jubail.

Additionally, the Master Gas System will undergo a phase three expansion with the awarding of 15 lump sum turnkey contracts worth approximately $8.8 billion. This expansion, in collaboration with the Ministry of Energy, will increase the system's capacity by an additional 3.15 billion standard cubic feet per day through the installation of pipelines and gas compression trains.

In line with the gas expansion projects, Aramco has awarded 23 gas rig contracts worth $2.4 billion and two directional drilling contracts valued at $612 million. Furthermore, 13 well tie-in contracts at Jafurah, totaling $1.63 billion, are expected to be awarded between December 2022 and May 2024.

The strategic gas expansion projects demonstrate Aramco's commitment to gas as an important energy source and a vital feedstock for downstream industries. The company aims to achieve sales gas production growth of more than 60% by 2030 compared to 2021 levels.

Amin H. Nasser, Aramco President & CEO, highlighted the significance of these contract awards in supporting the kingdom's transition towards a lower-emission power grid. He emphasized the integration and growth of Aramco's gas business to meet the rising demand, alongside the company's portfolio diversification and the creation of new employment opportunities.

The groundbreaking investments in the gas sector will enable Aramco to lessen its reliance on oil and contribute to a significant reduction in greenhouse gas emissions. Through the expansion of the Master Gas System, Aramco has successfully achieved near-zero routine gas flaring and maintained a flare volume of less than 1% of total raw gas production since 2012.

The Jafurah development program is progressing on schedule, with the initial start-up anticipated in the third quarter of 2025. Aramco envisions a sustainable sales gas rate of two billion standard cubic feet per day by 2030, in addition to substantial volumes of ethane, NGL, and condensate. The overall lifecycle investment at Jafurah is estimated to exceed $100 billion.

These developments further solidify Aramco's position as one of the world's leading integrated energy and chemicals companies. The contracts awarded will propel Saudi Arabia's gas production capabilities, contribute to economic growth, and foster a more sustainable energy landscape.

For media inquiries, please contact Aramco's Media & Executive Communications Department at media.inquiries@aramco.com.