Saudi Aramco to boost gas exploration and development

07 Jan 2013

(MENAFN) Saudi Aramco plans to boost exploration and development of more gas wells across Saudi Arabia, as it seeks to meet the requirements of electric power generation, Arab News reported.

According to Petroleum and Mineral Resources Minister Ali Al-Naimi, Saudi Aramco was carrying out drilling operations in two new wells in Tabuk. One of the two new wells, Hareed, is located northwest of Dhuba while the second named Dhuba is located near the city.

“For the first time in its 80-year history, Aramco has started using an advanced drilling ship designed to carry out operations in deep waters in order to find oil and gas in the Red Sea,” the minister said.

Al-Naimi said earlier that Madyan gas field in Tabuk would start this year.

Saudi Aramco is set to operate on seven fields in the first phase of the project, President and CEO Khaled Al-Falih said, adding that some of them are in deep waters of the Red Sea.

Gas from Madyan will be transported by pipeline to a power plant in the coastal town of Dhuba, 135 km southwest of the field.

Aramco will carry out test drillings to further evaluate the field, which is forecast to produce 75 million cubic feet a day of gas and 4,500 barrels a day of condensate for a 20-year period.

Saudi Aramco is one of the largest oil and gas companies in the world. Its gas production averaged 9.9 billion cubic feet per day in 2011, up from 9.4 billion cubic feet per day in 2010, while gas reserves rose to 282.6 trillion standard cubic feet from 279 trillion standard cubic feet.