NewVision upstream

News Digest (www.upstreamonline.com)

Saudi Aramco has commenced operations at two major strategic gas projects: the Jafurah unconventional gas field and the Tanajib gas plant. These developments are central to the company's plan to increase its sales gas production capacity by approximately 80% by 2030, compared to 2021 levels, targeting a total of about 6 million barrels of oil equivalent per day from gas and associated liquids.

Jafurah Unconventional Gas Field

Gas production has started at the Jafurah field, described as the Middle East's largest unconventional gas field and the largest shale gas development outside the United States. The field contains an estimated 229 trillion cubic feet of natural gas and 75 billion stock tank barrels of condensate. By 2030, it aims to deliver 2 billion cubic feet of sales gas, 420 million cubic feet of ethane, and approximately 630,000 barrels of high-value liquids per day. The gas is expected to support Saudi Arabia's growth ambitions in sectors such as energy, artificial intelligence, and petrochemicals. Production began in December 2025, with technology playing a key role in its development.

Tanajib Gas Plant

Operations have also commenced at the multibillion-dollar Tanajib gas plant, one of the world's largest gas facilities. It started operations in December 2025 and is expected to reach a raw gas processing capacity of 2.6 billion cubic feet per day in 2026. The plant processes associated raw gas from crude oil production at the offshore Marjan and Zuluf oil fields. Its start-up coincided with the beginning of production at Aramco's Marjan crude oil increment project. The plant is a key component of the strategy to increase gas processing capabilities and diversify the energy product portfolio.

Strategic and Economic Impact

The additional gas production from these projects is projected to generate incremental operating cash flows of $12 billion to $15 billion in 2030, subject to future demand and liquids prices. Gas is central to Aramco's long-term growth strategy, expected to generate substantial earnings, meet rising domestic demand, support sectoral development, and deliver high-value liquids. Furthermore, this gas growth strategy supports Saudi Arabia's efforts to achieve a more optimal energy mix for domestic electricity production. Under the Vision 2030 strategy, the country aims to replace oil—currently used for about 40% of electricity generation—with a mix of 50% gas-fired power and 50% renewables by the end of the decade. This move is anticipated to reduce the carbon footprint, free up more oil for export, and help meet rising domestic electricity demand, including from data centres.

27 February 2026



This material is an AI-assisted summary based on publicly available sources and may contain inaccuracies. For the original and full details, please refer to the source link. Based on materials by Nishant Ugal. All rights to the original text and images remain with their respective rights holders.

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