Energy, Oil & Gas

Hyundai consortium completes $1.65bn Saudi gas facilities project

RIYADH
Hyundai consortium completes $1.65bn Saudi gas facilities project

Hyundai Engineering Company has announced that its consortium  with Hyundai Engineering & Construction Company (Hyundai E&C), has completed the work on the first phase of Jafurah Gas Processing Facilities Project – Phase 1 in Saudi Arabia for for global oil giant Aramco.

The Phase 1 project, with a project value of $1.65 billion, was executed over 45 months from November 2021 to August 2025, thus marking the completion of a major gas processing development supporting the Kingdom’s unconventional gas programme.

Under the project, the Hyundai consortium was responsible for the construction of gas processing facilities, sulphur recovery units, and associated utility and offsite infrastructure required to process gas produced from the Jafurah unconventional gas field.

These completed facilities represent part of Aramco’s broader development programme for the Jafurah gas field. Covering 17,000 sq km, the field is estimated to contain around 200 trillion cu ft of gas resources. 

According to Aramco, the development is targeted to achieve sustainable sales gas production of approximately 2 billion standard cu ft per day by 2030.

The successful completion of Phase 1 also strengthened Hyundai Engineering’s relationship with Saudi Aramco and contributed to the company securing a follow-up contract for the Jafurah Gas Processing Facilities Phase II project.

In December 2023, the Hyundai consortium was awarded the Phase II project, valued at $2.3 billion, for additional facilities to process gas from the Jafurah field, including sulfur recovery infrastructure.

The Jafurah development is a key component of Saudi Aramco’s unconventional gas program. The wider development includes gas processing, NGL fractionation, gas compression and an extensive network of pipelines and associated infrastructure. 

Aramco has previously announced that contracts worth $10 billion have been awarded for the initial development phase of the field.