OGEJOURNAL Menu

Saudi Arabia Starts Gas Production at $100 Billion Jafurah Megaproject

Saudi Arabia has begun natural gas production from the first phase of its massive Jafurah development, a project valued at more than $100 billion and considered one of the largest unconventional gas ventures in the world.

State-owned Saudi Aramco confirmed the launch this week, marking a major step in the Kingdom’s long-term plan to expand its gas output and reduce its dependence on crude oil for domestic energy needs. The Jafurah field, located in Saudi Arabia’s Eastern Province, is estimated to contain about 229 trillion cubic feet of raw gas and significant condensate volumes, making it a cornerstone of the country’s future energy strategy.

Gas output from the first phase is expected to gradually increase, with long-term plans targeting up to 2 billion cubic feet per day of sales gas by 2030. The project is being developed in multiple stages, supported by heavy investment in processing plants, pipelines, and midstream infrastructure.

Aramco has said the megaproject could eventually contribute more than $20 billion annually to Saudi Arabia’s GDP, reinforcing its role as a key driver of economic diversification. Increasing gas supply will also help meet rising domestic industrial demand and free up more crude oil for export.