Despite increasing calls from climate activists, the Middle East is expected to commence over 600 projects between 2023 and 2027, according to data from GlobalData Energy.
Out of these, upstream projects would be 81, midstream would be 141, the refinery at 84, and petrochemicals would be the highest with 315 projects.
Here is a list of the top 5 recent oil and gas project launches that you need to know about.
- Aramco and TotalEnergies’ $11 billion Amiral petrochemical complex in Saudi Arabia: In December 2022, Aramco and TotalEnergies made a final investment decision to construct a world-scale petrochemical facility in Saudi Arabia called the ‘Amiral’ complex. The complex will be integrated with the existing SATORP refinery located in Jubail, Saudi Arabia. The facility will convert internally produced refinery off-gases and naphtha, as well as ethane and natural gasoline supplied by Aramco, into higher value chemicals. The project represents an investment of approximately $11 billion, with Aramco funding 62.5% and TotalEnergies funding 37.5%. Construction is set to begin in the first quarter of 2023, with commercial operation targeted to start in 2027.
- Oman’s second largest oil and gas project Yibal Khuff: In December 2021, the Petroleum Development Oman launched the Yibal Khuff oil and gas project, which is worth $2.6 million. The project covers an area of 1.68 square kilometers and is expected to have a peak production capacity of 20,000 barrels of crude and 5 million cubic meters of gas per day. Notably, the project involved a completely qualified Omani staff who worked on various phases of the project. It achieved several significant milestones, including the fabrication of the tallest column ever for PDO in Oman.
- Eni’s Congo Liquefied Natural Gas Project: Eni has launched the Congo LNG project to produce liquefied natural gas (LNG) for global export, with a particular focus on Europe, while also generating gas for domestic power generation. The project is expected to reach its full production capacity of 3 million tonnes per year by 2025. It will be executed in two stages, involving the development of nearshore facilities and the installation of additional platforms and wells.
- Iraq’s $8.5 billion Nibras petrochemicals project: Iraq’s Nibras project, a joint venture with Royal Dutch Shell, involves the construction of the largest petrochemical plant in the region. The plant, located in Basra, will have a production capacity of approximately 1.8 million tonnes per year and is projected to generate net earnings of nearly $1.4 billion annually. Shell will own 49% of the project’s shares, while Iraq’s Oil and Industry Ministries will control 51%. The project aims to utilize Iraq’s abundant gas resources and establish the country as a major petrochemical producer.
- India’s Infinite Mining’s new oil refinery in Sharjah’s Hamriyah Free Zone: India’s Infinite Mining & Energy has leased a land plot in Sharjah’s Hamriyah Free Zone to construct a multifunctional oil refinery. The new facility will have a processing capacity of 10,000 barrels per day and an annual refining capability of up to 3.6 million barrels. The project’s cost and construction timelines have not been disclosed. The expansion will enable Infinite Mining to meet the growing demand for its services and products in the Sharjah-based free zone.
Despite the increasing focus on climate change, the Middle East continues to embark on significant oil and gas projects, reflecting the region’s reliance on the industry. These projects are expected to contribute to economic growth but may raise concerns among climate activists regarding greenhouse gas emissions and environmental impact.
