Saudi Aramco is reportedly considering opening up the Jafurah unconventional gas field to foreign investors, according to anonymous sources cited by Bloomberg News. The company is planning to fund a $110 billion project which aims to diversify it away from oil sales.
The anonymous sources noted that Saudi Aramco is working with an advisor to consider options that would allow it to raise new equity or debt for the Jafurah site.
The company has already opened preliminary talks with potential investors, which include large commodity traders, Bloomberg News reported. While talks are underway, Saudi Aramco might pursue other means of raising the money needed to fund the Jafurah development.
The news is noteworthy for two reasons; Aramco’s unconventional resources could help it diversify away from oil and develop technologies to further exploit technically difficult reservoirs, and any deal would reflect the regional trend to bring in foreign investors, something unusual for Aramco.
