Aramco, BlackRock-led group close to $10B deal for Jafurah project: Report

Saudi Aramco is close to a deal to raise around $10 billion from a group led by BlackRock (BLK.N), established to invest in the infrastructure of Aramco's Jafurah gas project, Reuters reported, citing informed sources.

According to the report, the targeted assets in the potential deal include gas pipelines and a gas processing plant.

The deal is expected to be similar to two previous Aramco infrastructure deals in 2021, which involved BlackRock's investment in Aramco’s gas pipeline networks.

In February 2020, Saudi Aramco received a regulatory approval for the development of Jafurah unconventional gas field, Saudi Arabia’s largest non-associated gas field to date, Argaam earlier reported.

The Jafurah field is expected to start producing 200 million scf/day of natural gas in 2025.

In June 2021, Aramco announced the completion of a $12.4 billion infrastructure investment deal with an international investor consortium, including EIG and Mubadala.

Additionally, in December 2021, Aramco signed a $15.5 billion lease-and-leaseback agreement involving its gas pipeline network with a consortium led by BlackRock and Hassana Investment Co.