RIYADH: Saudi Aramco plans to invest $110 billion to develop unconventional gas reserves in Saudi Arabia’s Al-Jafurah field, Saudi Press Agency (SPA) reported on Friday.
The development plans were reviewed by the Saudi High Commission for Hydrocarbons in a meeting chaired by Crown Prince Mohammed bin Salman.
The Al-Jafurah deposits are estimated to hold 200 trillion cubic feet of wet gas and the phased development of the field is expected to gradually increase production to 2.2 trillion cubic feet by 2036 if fully completed, SPA said.
The crown prince said development of the field over 22 years would provide the government with an annual net income of $8.6 billion and contribute $20 billion to the kingdom’s gross domestic product per year, according to the agency.
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The field is expected to produce 130,000 barrels per day of ethane and 500,000 bpd of gas liquids and condensates.
Al-Jafurah is southeast of Ghawar, the world’s largest conventional oilfield.
Unconventional gas refers to reserves requiring advanced extraction methods, such as those used in the shale gas industry.
SPA said the crown prince ordered gas produced from Al-Jafurah to be prioritized for domestic industries, including mining, to support the Kingdom’s Vision 2030 development plan.