ARAMCO Holds Talks to Sponsor FIFA
The Saudi oil giant, ARAMCO, is holding talks with concerned authorities in order to sponsor Fédération internationale de football association FIFA.
On it way to be FIFA’s most generous sponsor, ARAMCO will sponsor the federation including all its championships in exchange for $100 million annually till 2034.
Saudi oil giant ARAMCO made a major step in the energy sector by producing the first unconventional narrow gas from southern Ghawar.
Thus, this development is part of ARAMCO’s broader strategy to promote gas production and diversify its energy resources.
Understanding Tight Gas
Tight gas is an unconventional gas type, necessitating advanced extraction methods. It’s typically found in reservoir rocks with low permeability, like sandstone.
This gas type is crucial for ARAMCO as it offers a new source of energy beyond traditional oil reserves.
The South Ghawar is now a landmark site for ARAMCO. Importantly, the facilities there have the capacity to process 300 million standard cubic feet per day (scfd) of raw gas and 38,000 barrels per day (bpd) of condensate.
Remarkably, the first gas production from this site was achieved two months ahead of schedule.
ARAMCO’s Strategic Objectives
ARAMCO aims to boost its gas production by 50% by 2030, a significant increase from 2021.
Consequently, the company plans to produce an impressive 750 million standard cubic feet per day of raw gas from South Ghawar.
This goal is in line with Saudi Arabia’s wider strategy to diversify its energy sources and lessen its dependence on oil
Expanding into Liquefied Natural Gas (LNG)
In line with its strategy to become a dominant player in the global gas market, ARAMCO acquired a strategic minority stake in Mid Ocean Energy, a liquefied natural gas (LNG) company, for $500 million.
However, this investment is a clear indication of ARAMCO’s commitment to expanding its presence in the LNG sector.
New Era for ARAMCO
Therefore, ARAMCO’s successful production of unconventional tight gas from South Ghawar marks a new chapter in the company’s history.
It does not only showcase ARAMCO’s innovative capabilities but also signals a shift in Saudi Arabia’s energy policy towards a more diverse and sustainable future.