Aramco's Jafurah shale gas faces obstacles
Water scarcity and a lack of transport infrastructure work against the recovery of gas from the shale field. Once overcome, its output may be better suited to displacing crude domestically than for LNG exports
Saudi Arabia has deeply held ambitions to be a major gas player, both regionally and internationally. But its latest shale gas project comes with several concerns that could limit its role in the global market and put into question the viability of exporting gas from the field altogether. “There are clear logistical challenges to making shale work in that part of Saudi Arabia, given the lack of water resources and limited transport links,” James Waddell, senior global gas analyst at Energy Aspects, tells Petroleum Economist. The $110bn project is expected to come onstream by 2024 and has a longer than usual ramp-up period until plateau capacity, which will not be until 2036, according to f

Also in this section
14 March 2025
Gas production slumped to an eight-year low in 2024, but new discoveries and partnership with Cyprus paint a more positive outlook
13 March 2025
Gas will become a more important part of the energy mix longer-term, raising the alarm for much-need investment as supply struggles to keep up with demand
13 March 2025
The spectre of Saudi Arabia’s 2020 market share strategy haunts a suffering OPEC+ as Trump upends the energy world
12 March 2025
Petronas-Eni eyes joint venture to prioritise key gas developments, with huge opportunities for growth in Indonesia and a steady Malaysia portfolio