Aramco, Hyundai Break Ground on Saudi Gas Project


Sulfur Recovery and Export Facility Slated for Completion in Late-2027



Saudi energy giant Aramco and South Korea’s Hyundai Engineering & Construction have broken ground on the Jafurah Phase II Utilities, Sulfur and Export Facilities Project (SACE2) in Saudi Arabia.

SACE2 is a follow-up project to Jafurah Phase I, which is aimed at establishing sulfur production facilities and utility infrastructure in the Al Hofuf region in the kingdom’s Eastern Province.

The projects comprise facilities that process gas and additional infrastructure for sulfur recovery from the Jafurah gas field, billed as the largest liquid-rich unconventional gas play in the Middle East. SACE2, which is reportedly costing US$2.4 billion to install, is slated for completion by October 2027.

Hyundai E&C confirmed that full-scale construction had begun.

In related news, state-led Aramco has revealed it is in talks to acquire a 10 percent stake in Chinese company Hengli Petrochemical.

The two firms have signed an MoU for the proposed deal, which Aramco said aligns with its strategy to expand its downstream footprint in key high-value markets, advance its liquids-to-chemicals program and secure long-term crude oil supply agreements.

Hengli Petrochemical owns and operates a 400,000 barrel per day refinery and integrated chemicals complex in China’s Liaoning Province and several plants and production facilities in Jiangsu and Guangdong Provinces.


Saudi Aramco is a member of the Breakbulk Global Shipper Network, an extensive networking platform for executives operating at the top end of the project supply chain in sectors such as oil and gas, energy and renewables, mining and minerals, construction, forestry, industrial manufacturing and aerospace.

The next in-person meet-ups for BGSN members will be at Breakbulk Europe 2024 on 21-23 May at Rotterdam Ahoy, then Breakbulk Americas 2024 on 15-17 October in Houston.

PHOTO: The Jafurah unconventional gas development project. CREDIT: Aramco

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