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Aramco to enter global LNG business

Published by , Editorial Assistant
Hydrocarbon Engineering,


Aramco has signed definitive agreements to acquire a strategic minority stake in MidOcean Energy for US$500 million. MidOcean Energy is a LNG company formed and managed by EIG, an investor in the global energy and infrastructure sectors.

MidOcean Energy is currently in the process of acquiring interests in four Australian LNG projects, with a growth strategy to create a diversified global LNG business. The strategic partnership with MidOcean Energy marks Aramco's first international investment in LNG.

The agreement builds on the relationship between Aramco and EIG, which was part of a consortium that acquired a 49% stake in Aramco Oil Pipelines Company, a subsidiary of Aramco, in 2021.

Completion of the transaction is subject to closing conditions which include regulatory approvals. Aramco also has the option to increase its shareholding and associated rights in MidOcean Energy in the future.

Amin H. Nasser, Aramco President and CEO, said: "We are pleased to be strengthening our strategic partnership with EIG through this acquisition, which marks Aramco's first international investment in LNG. We anticipate strong demand-led growth for LNG as the world continues on its energy transition journey, with gas being a vital fuel and feedstock in various industries. We believe that gas will be important in meeting the world's rising need for secure, accessible and more sustainable energy."

De la Rey Venter, MidOcean Energy CEO, said: "It is an honour for MidOcean Energy to have Aramco as a key shareholder and strategic partner. We share the conviction that LNG is an integral enabler of the global energy transition, and we believe that the global LNG industry has strong fundamentals for many decades to come.

Read the article online at: https://www.hydrocarbonengineering.com/gas-processing/29092023/aramco-to-enter-global-lng-business/

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