Dhahran – BETH
Aramco has signed an $11bn lease-and-leaseback agreement to develop gas-processing facilities at the Jafurah field with a consortium led by GIP (a BlackRock company). Aramco will retain a 51% stake in Jafurah Gas Transmission & Processing Company (GMGC), with investors led by GIP holding 49%. The 20-year deal includes a tariff paid by Aramco for exclusive rights to receive and process raw gas—with no restrictions on Aramco’s production volumes.

Deal Snapshot

Assets covered: Jafurah gas processing plant + Riyas NGL fractionation facility.

Structure: GMGC leases development/usage rights, then leases them back to Aramco.

Strategic goal: Support Aramco’s plan to lift gas output 60% between 2021–2030.

Resource base (est.): 229 tcf of raw gas and 75 bn bbl of condensates.

Timeline: Phase-one production starts this year; subsequent phases underway.

Quick Numbers

Value: $11bn

Ownership: Aramco 51% — GIP-led investors 49%

Term: 20 years

Segment: Non-associated gas — the Kingdom’s largest project of its kind

Statements

Amin Nasser (Aramco President & CEO):
“Jafurah is a cornerstone of our gas expansion. The GIP-led consortium’s participation underscores the project’s investment appeal and long-term confidence in Aramco’s strategy. As phase one comes online this year, we expect Jafurah to supply vital feedstock for petrochemicals and power new growth sectors, including AI data centers in the Kingdom.”

Bayo Ogunlesi (GIP Chairman & CEO):
“We are pleased to deepen our partnership with Aramco through investment in the Kingdom’s gas infrastructure—foundational to global gas markets. Today’s announcement builds on our long-standing relationship with BlackRock and Aramco to meet growing demand for cleaner fuel, energy security and affordability.”

Why It Matters

Energy mix diversification: More gas for petrochemicals and to replace liquid fuels in power generation—freeing additional crude for export.

Digital economy enabler: Reliable gas supply to power AI/data centers.

High-quality FDI: Lowers cost of capital and frees Aramco balance-sheet capacity for value-add projects.

Advanced asset monetization: Lease–leaseback structure unlocks asset value while keeping operations and control with Aramco.

What to Watch

Closing milestones and customary conditions.

Tie-in pace of processing and NGL units with transmission capacity.

Local pricing impact on electricity and heavy industry.

Value-chain expansion: chemicals, blue ammonia/hydrogen, and power for desalination and data hubs.

Risks to Manage

Execution & scheduling risks in a multi-phase mega-project.

Global gas demand/price volatility.

Financing costs if global monetary conditions tighten.

BETH Comment

This deal frames Saudi Arabia’s gas pivot: attracting global capital while preserving operational sovereignty. As Jafurah ramps up, the Kingdom advances from oil giant to a regional gas powerhouse—fueling petrochemicals, lower-emission energy, and the data economy. The winning formula: asset value unlocked + expansion enabled + investor confidence reinforced.