Saudi Aramco has once again demonstrated the scale and global appeal of its Jafurah gas development, signing an $11 billion lease and leaseback deal for its midstream assets with a consortium of international investors led by Global Infrastructure Partners, part of BlackRock.

The move reflects more than just financial engineering. It underlines the attractiveness of Saudi Arabia’s unconventional gas expansion to foreign capital, while also highlighting how Aramco is able to recycle funds into its broader investment program. Amin Nasser, Aramco’s President and CEO, called Jafurah a cornerstone of the company’s ambitious gas expansion program, and the timing is significant as first gas from the field is expected this year.

Global capital joins local engineering firepower

For EPC contractors, the scale of Jafurah has already translated into an unprecedented wave of awards. In 2023 Aramco allocated more than $10 billion in contracts for the project’s first development phase, including major processing, utilities, and sulfur recovery packages. Hyundai E&C, Samsung Engineering, Saipem, and Técnicas Reunidas were among the winners, securing some of the largest downstream and midstream construction awards ever seen in the Kingdom.

These EPC packages are building the physical backbone of Jafurah, from the gas processing plant now leased to JMGC, to pipelines and utilities that will underpin production for decades. Aramco’s decision to monetize the midstream facilities through this $11 billion transaction signals to investors that the heavy lifting on the engineering and construction side has already been secured, de-risking the assets and making them attractive to global infrastructure funds.

Why Jafurah matters

Jafurah is the largest non-associated gas development in Saudi Arabia, holding an estimated 229 trillion standard cubic feet of raw gas. It is central to Aramco’s plan to increase gas production capacity by 60 percent by 2030, a target designed to meet growing domestic demand while freeing more oil for export. Gas from Jafurah will not only supply power plants but also feed petrochemical complexes and provide energy for new growth industries such as AI data centers.

The structure of this deal, with Aramco retaining 51 percent of the new Jafurah Midstream Gas Company and investors taking 49 percent, ensures that operational control stays in local hands while foreign investors secure long-term tariff revenues. For the Kingdom, this marks another successful injection of foreign direct investment into energy infrastructure, reinforcing its strategy of diversifying the economy while leveraging global capital.

A pipeline of opportunities

The significance of the midstream transaction is best understood when viewed alongside the broader EPC build-out. The EPC awards already executed at Jafurah are worth several times the $11 billion raised from this deal, with contractors mobilizing across Saudi Arabia to deliver the facilities that make monetization possible. Subsequent phases of Jafurah, which are already being planned, will carry further contract opportunities for international and local firms.

For service providers and equipment suppliers, Jafurah represents a decade-long pipeline of work. Rotating equipment, turbines, compressors, and gas processing technologies will continue to flow into the Kingdom as production ramps up. Baker Hughes, for example, signed a collaboration with Aramco in 2023 that is expected to position it for key turbomachinery supply.

Looking ahead

The $11 billion midstream deal is both a vote of confidence in Aramco’s gas strategy and a signal of how global infrastructure investors are eager to secure exposure to contracted, long-life energy assets. For EPC contractors and suppliers, the message is equally clear. Jafurah is no longer a speculative play but a fully funded, globally backed development that will define Saudi Arabia’s energy system for decades to come.

The combination of massive EPC awards already in motion and fresh international capital flowing into the project highlights Jafurah’s role as one of the world’s largest and most consequential gas investments today.