Aramco melds US ties with US$90 bn agreements in LNG, petchem

In line with US President Trump’s recent visit to Saudi Arabia, Saudi Aramco announced agreements and memorandums of understanding (MOUs) with US companies from refining and liquefied natural gas (LNG) to artificial intelligence.

The 34 deals have a potential value of about US$90 billion, according to the state-owned oil giant.

“Our US-related activities have evolved over the decades, and now include multi-disciplinary R&D, the Motiva refinery in Port Arthur, start-up investments, potential collaborations in LNG, and ongoing procurement,” Aramco President/CEO Amin H. Nasser said.

The agreements span a broad spectrum of sectors, including energy, technology, and finance. In the energy domain, Aramco has entered into memoranda of understanding with US liquefied natural gas producers NextDecade and Sempra, securing approximately 6.2 million tonnes of LNG supply. This move aligns with Aramco’s ambition to reach nearly 7.5 million tonnes of LNG capacity by 2030.

Additionally, a US$3.4 billion investment is earmarked for the expansion of the Motiva refinery in Texas, enhancing its refining capabilities.

The MOU also provides for Aramco’s potential acquisition of a 25% interest in Sempra.

A non-binding collaboration agreement between Aramco and Australia’s Woodside Energy Group Ltd, involving the Louisiana LNG project, was also part of the deals. Aramco plans to place an offtake and acquire a stake in the Gulf Coast project, with phase 1 recently reaching a FID for a capacity of 16.5 million tonnes/year.

In Saudi Arabia, Exxon Mobil Corp. and Aramco inked an MOU to evaluate a “significant upgrade” of their SAMREF refinery, which processes over 400.000 barrels a day of Arabian light crude, into an integrated petrochemical complex.

Aramco also signed an MOU with its US-based subsidiary Motiva Enterprises LLC for an aromatics project in Port Arthur, and another MOU with Honeywell International Inc. “related to technology licensing for an aromatics project”, Aramco said.

With Afton Chemical, Aramco signed MOUs “related to development and supply of chemical fuel additives in pipelines and retail fuel offerings”, it said.