Saudi Aramco, Gazprom Sign MoU Covering Gas Value Chain

Saudi Aramco and Gazprom have signed a memorandum of understanding (MoU) covering the entire natural gas value chain from exploration, production, transmission and storage to LNG projects, Gazprom said on October 6.

The two companies signed the MoU in Moscow on the margins of the official visit to Russia by Saudi Arabian king Salman bin Abdulaziz Al Saud.

Saudi Arabia is focusing on expanding its use of gas, especially for power generation. Earlier this year, Aramco said it had adopted a two-phase plan to expand the country’s Master Gas System (MGS). Once the first phase is complete, the capacity of MGS will increase to 9.6bn ft³/d. Its capacity will expand further to 12bn ft³/d following completion of the second phase in 2019.

Shardul Sharma