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Fadhili Gas Plant Expansion Project: Location, Contractor Details & Updates

Last Updated on Feb 19, 2025, 05:00 AM IST
Fadhili Gas Plant Expansion Project: Location, Contractor Details & Updates

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Project at a Glance

Project Name 

Fadhili Gas Plant Expansion

Project Type

Brownfield

Project Location

North East Riyadh, Saudi Arabia

Sector

Oil and Gas

Subsector

Gas Pipeline

Owner

Saudi Aramco

Main EPC Packages

4

EPC Contract Cost

USD 7.7 Billion

Capacity Added by Expansion

1.5 billion cf/d (cubic feet per day)

Project Status

Under Construction

Construction Start Date

2024

Project Completion Date

2027

 

Fadhili Gas Plant Expansion: Project Overview

The Fadhili Gas Plant Expansion is a brownfield project by the largest oil and gas company in the world, Saudi Aramco. The company aims to increase the plant's raw gas processing capacity from 2.5 billion cubic feet per day (cf/d) to 4 billion cf/d. The USD 7.7 billion expansion includes the addition of three processing trains, each with a 500 million cf/d capacity.

 

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The Fadhili Gas Plant Expansion project is expected to boost sulfur production by 2,300 metric tonnes per day. Construction of the gas plant began in 2024 and is targeted for completion in November 2027. The expansion aligns with Saudi Aramco’s long-term strategy to increase gas production by 60% compared to 2021 levels by 2030.

 

Project Scope

The Fadhili Gas Plant Expansion involves installing three additional gas processing trains, which will add 1.5 billion cf/d of gas to the existing system. The project also includes building new sulfur recovery units to process the increased volume of sour gas and enhance sulfur production by 2,300 metric tonnes per day. 

 

The Fadhili project also entails developing utilities and offsite facilities, including power generation, water treatment, and waste management systems. The Fadhili gas increment program will require installing pipelines, valves, and instrumentation to integrate the new processing trains and sulfur recovery units with existing infrastructure. 

 

Civil works, such as new foundations, buildings, and support structures, will also be carried out, along with installing and integrating electrical and control systems to support the upgraded processing capacity.

 

Project Background

Fadhili gas expansion project contract awarded by aramco

 

Saudi Aramco has made significant capital investments in major projects critical to its long-term strategy, including the Fadhili Gas Processing Complex. The facility will boost Aramco’s plan to nearly double its gas production capacity from 12 billion cubic feet per day (cf/d) to 23 billion cf/d by 2030. In April 2024, Aramco awarded EPC contracts worth USD 7.7 billion for a major expansion of its Fadhili Gas Plant.

 

It also supports the company’s target of increasing gas production by 60% by 2030, using 2021 as the baseline. Meanwhile, oil production potential will remain at 12 million barrels per day (b/d), and the company aims to reach a liquids-to-chemicals conversion capacity of 4 million b/d by the end of the decade.

 

The Fadhili Gas Processing Complex

The Fadhili Gas Processing Complex, one of the largest gas processing complexes in Saudi Arabia, is located 30 kilometers southwest of the Khursaniyah gas plant in Jubail industrial city. The complex was commissioned in early 2020 and has a capacity to process 2.5 billion cf/d of natural gas. It processes sour gas from the offshore Khursaniyah oil field and the offshore Hasbah non associated gas field. 

 

The first phase of the Fadhili gas project, valued at USD 6.5 billion, was completed in 2019 and included five major Engineering, Procurement, and Construction (EPC) packages awarded in 2015. Técnicas Reunidas executed packages 1 and 2, covering the central gas processing facility and utilities. Petrofac managed package 3, which involved the construction of six sulfur recovery trains and associated infrastructure. 

 

The pipeline network, linking the plant to feeder fields and other gas plants, was developed under package four and awarded to a consortium led by Larsen & Toubro Energy Hydrocarbon. Package 5, for industrial support facilities, was awarded to Al-Muhaidib Contracting, while Wood Group handled front-end engineering design (FEED) and project management consulting.

 

The facility was built by Fadhili Plant Cogeneration Company (FPCC) with an estimated investment of USD 13.3 billion and operated by Saudi Aramco, ENGIE, and Saudi Electricity Company. The ongoing Fadhili Gas Plant Expansion is a key initiative to enhance Saudi Arabia’s gas infrastructure and energy transition goals.

 

Fadhili Gas Plant Expansion: Project Location

The Fadhili Gas Plant expansion project is located 350 kilometers northeast of Riyadh and 30 kilometers southwest of the Khursaniyah gas plant. This strategic location positions it close to key gas fields, enabling efficient processing and transportation of natural gas within Saudi Arabia’s Eastern Province.

 

Fadhili Gas Plant Expansion: Project Cost

The total estimated project cost of the Fadhili Gas Plant Expansion is USD 7.7 billion.

 

Fadhili Gas Plant Expansion: Contractor Details

Package

Scope

Contractor

Country

Package 1

Gas Processing Plant Expansion

Samsung Engineering Company

South Korea

Package 2

Sulfur Recovery Units (SRUs)

GS Engineering & Construction Corporation

South Korea

Package 3

Early Civil Works

Nesma & Partners

Saudi Arabia

Package 4

Utilities and Offsites

Samsung Engineering Company

South Korea

Package 6

Upstream/Downstream Pipelines (150 km)

Nesma & Partners

Saudi Arabia

Subcontract

Construction work (specific scope)

Consolidated Contractors Company (CCC)

Greece/Lebanon

Subcontract

Supply 33 km of its thermoplastic composite pipe (TCP) flowline

Strohm

Netherlands

 

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Project Benefits

The Fadhili Gas Plant Expansion will increase processing capacity from 2.5 billion cf/d to 4 billion cf/d, enhancing Saudi Arabia's natural gas supply and supporting industrial growth. The project will achieve a 99.9% sulfur recovery rate, reducing greenhouse gas emissions and improving air quality.

 

Wail Al Jaafari, Aramco Executive Vice President of Technical Services, said: “The award of these contracts reflects Aramco’s goal to increase supplies of natural gas, help efforts to reduce gas emissions, and free up more crude oil for value-added refining and export. The expansion also supports our ambitions to develop a lower carbon hydrogen business, while associated liquids from gas are an important feedstock for the petrochemical industry."

 

The project enhances energy efficiency and lowers carbon emissions. It also contributes to Aramco's hydrogen production strategy, aligning with Saudi Arabia's goals for energy sustainability, economic diversification, and environmental responsibility.

 

Project Construction Timeline

fadhili gas plant expansion project timeline

 

Current Status of Fadhili Gas Plant Expansion

As of February 2025, the Fadhili Gas Plant Expansion project is progressing as planned. In January 2025, Consolidated Contractors Company (CCC) announced securing a subcontract from Samsung Engineering for specific construction work related to Package 4 of the expansion project. The expansion project is expected to be completed by November 2027. 

 

The Fadhili Gas Plant expansion is part of USD 25 billion to advance Saudi Arabia’s strategic gas expansion that includes the Master Gas System expansion project phase 3 and Jafurah gas treatment project. The country targets sales gas production growth of more than 60% by 2030 compared to 2021.

 

Project Summary

The Fadhili Gas Plant Expansion is a USD 7.7 billion project by Saudi Aramco to boost Saudi Arabia’s natural gas supply. The expansion will increase the plant’s processing capacity from 2.5 billion cf/d to 4 billion cf/d by adding three new gas processing trains and enhancing sulfur recovery by 2,300 metric tonnes daily. The expansion aligns with Saudi Aramco’s long-term strategy to increase gas production by 60% by 2030, improve energy efficiency, and support industrial growth. Construction began in 2024, with completion expected by November 2027.

 

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