Saudi Aramco is set to break into the US liquefied natural gas (LNG) scene. The world’s most valuable oil company is currently aiming for major supply deals and investment in multi-billion dollar Louisiana projects.
Saudi Aramco is turning its sights to natural gas, reportedly working towards agreements with Woodside Energy and Commonwealth LNG.
The company could secure about two million tonnes of LNG yearly from the Commonwealth’s planned Cameron facility, while a deal with Woodside Energy will include both a supply agreement and a stake in Woodside’s $17.5 billion Louisiana project.
These deals are expected to be discussed and finalized during the Saudi crown prince’s upcoming US trip.
Despite the details being secret as of now, Aramco’s expansion reiterates its ambition to carve out a major spot in US natural gas as the global energy transition gains momentum.
The company’s break into US LNG is happening as exports hit record highs in 2024, jumping over 10% to 86 million tonnes.
With global LNG demand set to increase by 50% by 2040, Aramco could quickly become a major competitor.
Its entry could lead to more investment and innovation across North America’s energy landscape, making an already booming sector more profitable.
By getting involved with US LNG projects, Aramco is making sure it stays in control as the world embraces lower-carbon fuels.
