Aramco completes $11 billion Jafurah midstream deal with GIP-led consortium, expanding gas production and strategic infrastructure in Saudi Arabia.
Saudi Aramco, a global leader in integrated energy and chemicals, has officially completed a landmark $11 billion lease and leaseback investment agreement for its Jafurah gas processing facilities. The deal was executed with a consortium of international investors led by funds managed by Global Infrastructure Partners (GIP), affiliated with BlackRock. First announced in August 2025, this transaction represents a significant milestone in Aramco’s strategy to optimize its asset portfolio while generating substantial value for investors.
The consortium participating in the investment includes prominent institutional players such as Hassana Investment Company, The Arab Energy Fund (TAEF), Aberdeen Investcorp Infrastructure Partners, along with other investors from North and Southeast Asia and the Middle East. The transaction underscores global investor confidence in Aramco’s operations and its long-term growth strategy.
Amin H. Nasser, President and CEO of Aramco, highlighted the strategic importance of the agreement: “Partnering with a world-class infrastructure player like GIP and its consortium validates our approach and unlocks significant value for investors. Jafurah represents the starting point of our broader plans to expand overall sales gas production capacity, contributing directly to Saudi Arabia’s growth in energy, artificial intelligence, and key industrial sectors, including petrochemicals.”
Bayo Ogunlesi, Chairman and CEO of GIP, added: “We are delighted to invest in the Jafurah Midstream Gas Company and Saudi Arabia’s natural gas infrastructure. This announcement builds on BlackRock and GIP’s longstanding collaboration with Aramco, supporting the Kingdom’s development and meeting rising demand for cleaner and affordable energy worldwide.”
Under the terms of the deal, the newly formed Aramco subsidiary, Jafurah Midstream Gas Company (JMGC), has secured development and operational rights for both the Jafurah Field Gas Plant and the Riyas NGL Fractionation Facility. These facilities are leased back to Aramco under a 20-year agreement, allowing JMGC to collect a tariff from Aramco while granting Aramco exclusive rights to process and treat raw gas from the Jafurah field. The agreement places no restrictions on Aramco’s production volumes, and Aramco retains a 51% ownership stake in JMGC, with the remaining 49% held by the GIP-led investor group.
Jafurah, the Kingdom’s largest non-associated gas development, remains central to Aramco’s strategic gas expansion plans. The project aims to meet growing domestic natural gas demand while positioning Aramco as a competitive player in global LNG markets. Estimates indicate that the Jafurah field contains 229 trillion standard cubic feet (tscf) of raw gas and 75 billion Stock Tank Barrels (STB) of liquids. Production is slated to commence in 2025, with a planned ramp-up to 2 billion standard cubic feet per day (BSCFD) of sales gas, 420 million standard cubic feet per day (MMSCFD) of ethane, and 630 thousand barrels per day (MBD) of high-value liquids by 2030.
This transformative transaction reinforces Aramco’s commitment to sustainable growth, strategic partnerships, and the continued development of Saudi Arabia’s energy infrastructure.
