The company stated in a statement: “Saudi Aramco has signed an $11 billion lease and leaseback deal related to gas processing facilities in Jafurah with a consortium of international investors, led by funds managed by Global Infrastructure Partners, known as GIP, a subsidiary of BlackRock. Jafurah is the largest unconventional gas development project in Saudi Arabia, with estimated reserves of about 229 trillion standard cubic feet of raw gas and 75 billion barrels of condensates. Jafurah Gas Transmission and Processing Company (GMGC) will lease the development and usage rights for the gas plant in Jafurah.
As part of the deal, GMGC will lease the development and exploitation rights for the gas plant in the Jafurah field and the Riyas natural gas liquids fractionation facility, and re-lease them back to Aramco for 20 years. GMGC will receive a tariff paid by Saudi Aramco in exchange for granting it the exclusive right to receive and process raw gas extracted from Jafurah. Aramco will own a majority stake of 51% in GMGC, while investors led by GIP will own the remaining 49%.
Aramco’s CEO, Amin Nasser, stated, “The Jafurah field is a cornerstone of our ambitious gas expansion program, and the participation of the GIP-led consortium as an investor in a major project in our unconventional gas business demonstrates the attractive investment benefits of this project.” He added, “This infusion of foreign direct investment highlights the attractiveness of Aramco’s strategy to the global investment community in the long term.”
He further mentioned, “We look forward to the Jafurah gas field playing a key role as a raw material provider for the petrochemical sector and supplying the energy needed to power new growth sectors such as artificial intelligence data centers in the Kingdom.” The Chairman and CEO of Global Infrastructure Partners, Adebayo Ogunlesi, said, “We are pleased to strengthen our partnership with Aramco through our investment in Saudi Arabia’s natural gas infrastructure, which is a cornerstone of global natural gas markets.”
He added, “Today’s announcement is part of the long-standing relationship between BlackRock and GIP with Saudi Aramco, meeting the growing market needs for clean fuel, energy security, and making it affordable for consumers.” The opportunity to invest in one of the region’s most important natural gas development projects has garnered significant interest from investors worldwide, including leading investment institutions from Asia and the Middle East. Upon completion, the deal will support the optimal exploitation of Saudi Aramco’s assets and gain additional value from the development of the Jafurah gas field.
