Saudi Aramco has signed an $11 billion lease and leaseback agreement for its Jafurah gas processing facilities with an international investor consortium led by Global Infrastructure Partners (GIP), part of BlackRock. The deal, involving Aramco's Jafurah Field Gas Plant and Riyas NGL Fractionation Facility, includes the creation of Jafurah Midstream Gas Company (JMGC), which will lease the assets from Aramco for 20 years and lease them back to the company. Aramco will hold a 51 percent stake in JMGC, while the remaining 49 percent will be held by investors led by GIP. Upon completion, Aramco will receive $11 billion in upfront proceeds. The transaction aims to optimize the company's assets and reflects the strong outlook for gas demand in Saudi Arabia. It will not restrict Aramco's production volumes. Aramco President and CEO Amin Nasser called Jafurah "a cornerstone" of the company's gas expansion program, highlighting its role in supplying feedstock for petrochemicals and powering growth sectors like AI data centers. The Jafurah field, the largest non-associated gas development in the Kingdom, holds an estimated 229 trillion standard cubic feet of raw gas and 75 billion stock tank barrels of condensate. Aramco plans to boost gas production capacity by 60 percent between 2021 and 2030. Bayo Ogunlesi, GIP chairman and CEO, said the investment underscores the importance of Saudi Arabia's natural gas infrastructure in meeting global energy needs. Co-investors include major institutional investors from Asia and the Middle East. — SG
