Saudi Aramco is going to launch the biggest shale gas development outside of the US, Aramco CEO Amin Nasser told Reuters.
Aramco’s shale gas development initiative aims to increase its domestic gas supply and end the burning of oil at its power generation plants.
“A new shale revolution is taking place [in Saudi Arabia], it is commercial and we are using seawater,” in the fracking process, Nasser said in an interview in Saudi Arabia’s oil-producing Eastern Province.
Saudi Aramco has been eyeing the shale oil market for years and now Saudi Arabia has adopted the techniques developed in US fields and implemented them in Al-Jafurah shale gas field with investments of around $110 billion.
This step will enable Saudi Arabia to become the third-largest gas producer by 2030, only if Aramco reaches the development targets.
Aramco has been preparing for Al-Jafurah field development plan since 2013 by drilling 150 wells since then. Nasser added that Aramco will hold bid rounds for the field and companies such as Schlumberger, Halliburton, and Baker Hughes are likely to be involved.
It is expected that this project would help the kingdom to reduce burning an average of 800,000 barrels per day (bbl/d) of crude and fuel for electricity.