Jafurah: A New Era in Saudi Arabia's Natural Gas Landscape

Introduction to the Landmark Deal

In a significant move that underscores its commitment to expanding natural gas production, Aramco, one of the world’s leading integrated energy and chemicals companies, has recently finalized an $11 billion lease and leaseback agreement concerning its Jafurah gas processing facilities. This strategic partnership, which involves a consortium of international investors led by Global Infrastructure Partners (GIP) — a subsidiary of BlackRock — marks a pivotal moment for both Aramco and the Kingdom of Saudi Arabia. 

Jafurah, boasting the title of the largest non-associated gas development in Saudi Arabia, is estimated to hold a staggering 229 trillion standard cubic feet of raw gas and 75 billion Stock Tank Barrels of condensate. This vast reservoir not only plays a vital role in Aramco's ambitious plan to increase gas production capacity by 60% between 2021 and 2030, but also positions the Kingdom to meet the growing global demand for cleaner energy sources.

A Vision for Sustainable Growth

Under the terms of this landmark transaction, a newly-formed subsidiary, Jafurah Midstream Gas Company (JMGC), will lease development and usage rights for both the Jafurah Field Gas Plant and the Riyas NGL Fractionation Facility. For a period of 20 years, JMGC will lease these facilities back to Aramco, which will, in turn, pay a tariff in exchange for the exclusive rights to process and treat raw gas from the Jafurah field. Notably, Aramco will maintain a 51% majority stake in JMGC, allowing it to retain significant control over its production volumes.

Amin H. Nasser, Aramco’s President & CEO, highlighted the importance of the Jafurah project, stating, “This cornerstone of our ambitious gas expansion program demonstrates the attractive value proposition of the project.” Nasser’s remarks emphasize the project's role in not only enhancing energy output but also in supporting emerging sectors such as artificial intelligence and data centers within the Kingdom. Furthermore, the investment by GIP and its co-investors from Asia and the Middle East reflects the global interest in Saudi Arabia’s natural gas infrastructure, a crucial component of the international energy market.

A Bright Future Ahead

As the Jafurah project prepares to commence phase one production, the future looks promising for both Aramco and its investors. This strategic partnership not only reinforces Aramco’s position within the global energy landscape but also highlights the Kingdom’s appeal as an attractive destination for foreign direct investment. With the backing of a consortium that understands the strategic importance of natural gas, Aramco is poised to optimize its assets and capitalize on the immense potential of the Jafurah gas field.

In summary, the $11 billion investment in Jafurah not only signifies a monumental step in Aramco’s growth trajectory but also heralds a new era for Saudi Arabia’s energy sector. As the Kingdom continues to innovate and adapt to the evolving energy landscape, it remains committed to leveraging its natural resources for sustainable economic growth and energy security.

NEOM: A New Dawn for Sustainable Trade in the Kingdom of Saudi Arabia

The Kingdom of Saudi Arabia is undergoing a transformative journey, spearheaded by ambitious projects that aim to redefine its economic landscape. Among these initiatives, NEOM stands out as a beacon of innovation and sustainability. Central to this futuristic vision is the Port of NEOM, which is rapidly evolving into an advanced and sustainable port. Recently, it marked a significant milestone with the arrival of the first fully automated, remote-controlled Ship-To-Shore (STS) and Electric Rubber-Tyred Gantry (eRTG) cranes. This development not only underscores NEOM’s ambition to become a global hub for smart trade but also emphasizes the Kingdom's commitment to revolutionizing its logistics and industrial sectors.

A Strategic Location with Global Implications

Strategically located along the Red Sea, one of the world’s busiest maritime corridors, the Port of NEOM is poised to serve as a critical gateway on the East–West trade route. The new state-of-the-art cranes will play an essential role in the port's automation strategy, facilitating high-volume and high-efficiency operations. The capabilities of these cranes are particularly noteworthy; their remote-control functionality allows operators to manage equipment from secure and ergonomic environments. This innovative approach not only enhances operational efficiency but also lays the groundwork for a future-ready workforce model. As the logistics landscape evolves, the Port of NEOM is ensuring that its workforce is equipped to meet the demands of an increasingly automated industry.

The ongoing development of the Port of NEOM continues at a remarkable pace, especially as the 2026 opening of Terminal 1 approaches. This next-generation container terminal is set to feature cutting-edge technologies, including horizontal transport automation, aligning with the broader goal of achieving full automation. Notably, recent milestones include the completion of a 900-meter quay wall and the deepening of the port channel to 18.5 meters. These enhancements enable the world's largest vessels, transiting the Suez Canal, to call at Port of NEOM, further solidifying its role as a pivotal player in global trade. By significantly expanding the port's logistics capacity, NEOM is not only driving regional industrial growth but also enhancing supply chain resilience and unlocking new business opportunities.

Empowering a New Workforce

In parallel with its ambitious infrastructure investments, the Port of NEOM remains committed to developing local talent, particularly focusing on empowering Saudi women in high-tech roles. This commitment is embodied in a pioneering initiative aimed at training the next generation of Production Specialists to become remote crane operators. Such efforts are vital in shaping a more inclusive future within the logistics and industrial sectors, aligning with Saudi Vision 2030's goals of economic diversification and workforce empowerment.

Currently, ten participants from the Tabuk region are enrolled in an intensive two-year program that combines technical instruction with hands-on training and dedicated mentorship. This program not only equips trainees with the necessary skills but also fosters a sense of community and teamwork. Hajjer Alatawi, a trainee participating in this initiative, articulated her insights: "This experience has shown me that port logistics is far more complex than just moving cargo; it’s about teamwork, precision, and responsibility. Seeing more Saudi women entering this space gives me hope for a future where industries are defined by skills, not gender."

By investing in local talent and providing opportunities for skill development, the Port of NEOM supports NEOM’s vision of becoming a catalyst for a sustainable, diverse, and innovative ecosystem. This strategy not only empowers Saudi workers but also reinforces the Kingdom’s commitment to advancing its economic goals.

The Port of NEOM is not merely a logistics hub; it is a symbol of the Kingdom of Saudi Arabia's strategic vision for the future. Through the integration of advanced technologies and the empowerment of local talent, NEOM is setting new benchmarks for performance, efficiency, and innovation. As the port continues its development journey, it will undoubtedly play a pivotal role in shaping the future of trade, not only for the region but also on a global scale. By embracing sustainability and inclusivity, the Port of NEOM is primed to become a vital trade gateway, driving economic resilience and growth in the Kingdom and beyond.