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Saudi Jafurah Field Discovery Boosts Kingdom’s Gas Production Status

The resources at Jafurah are now estimated at 229 trillion standard cu ft of gas and 75 billion barrels of condensates. (Saudi Aramco)
The resources at Jafurah are now estimated at 229 trillion standard cu ft of gas and 75 billion barrels of condensates. (Saudi Aramco)
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Saudi Jafurah Field Discovery Boosts Kingdom’s Gas Production Status

The resources at Jafurah are now estimated at 229 trillion standard cu ft of gas and 75 billion barrels of condensates. (Saudi Aramco)
The resources at Jafurah are now estimated at 229 trillion standard cu ft of gas and 75 billion barrels of condensates. (Saudi Aramco)

Saudi Aramco, the Saudi Arabian oil giant, has made a groundbreaking discovery in its unconventional Jafurah Field, adding 15 trillion standard cubic feet of gas and 2 billion barrels of condensate to its reserves.

With this find, the resources at Jafurah are now estimated at 229 trillion standard cu ft of gas and 75 billion barrels of condensates.

This strategic discovery not only increases the total reserves in Jafurah but also underscores Saudi Arabia’s positioning in the natural gas sector amid its ongoing energy transition efforts.

The Ministry of Energy confirmed the find in a press statement, quoting Energy Minister Prince Abdulaziz bin Salman.

The ministry emphasized that Aramco’s adherence to the highest international standards in estimating and developing hydrocarbon resources has ensured the proper exploitation of these resources.

Jafurah is considered the biggest shale gas reserve in the Middle East. It holds around 200 trillion cubic feet of natural gas underground, which could help cut emissions and serve as a source for cleaner fuels in the future.

Experts predict that this increase will make Saudi Arabia a major global gas producer, diversifying its energy mix and allowing it to stockpile substantial gas reserves for export.

This shift reflects the Kingdom’s ambition to be recognized as an all-encompassing energy producer, not just reliant on oil.

Dr. Mohammed Suroor Al-Sabban, a former senior advisor at the Saudi Ministry of Energy, emphasized the importance of this increase, noting it aligns with the Kingdom’s goals of energy diversification.

In remarks to Asharq Al-Awsat, he highlighted that it solidifies Saudi Arabia’s position as a leading energy producer and enhances global interest in its energy sector.

Al-Sabban also highlighted the increasing global interest in gas and its role in electricity generation and water desalination.

He stressed that Saudi Arabia’s large gas reserve will make it a significant player in the global market, especially with advancements in shale oil and gas technologies reducing production costs.

Last August, the China Petroleum & Chemical Corp., also known as Sinopec, expressed interest in Saudi Arabia’s shale gas development project at Jafurah.

In October, South Korea’s Hyundai Engineering and Construction and Hyundai Engineering also signed a $2.4bn contract with oil giant Saudi Aramco to build a gas processing plant at Jafurah.

Economic expert Tareq Al-Ateeq sees the big increase in gas and condensate reserves in the Jafurah field as a boost for Saudi Arabia’s economy.

He predicted that once the field is up and running, Saudi Arabia will be the world’s third-largest gas producer. This will help diversify the Kingdom’s energy and support Aramco in becoming the world’s largest energy company.

Al-Ateeq believes this will bring in more money for Saudi Arabia and fund big projects, supporting the Kingdom’s growth plans. It will also meet the needs of different sectors like electricity, water, and mining, helping the economy grow.

He also underscored that exporting gas is becoming more important and expected a big increase in demand for gas by 2040.

Gas is cleaner and cheaper to produce than oil, and it will help create jobs and boost the Kingdom’s economy, stressed Al-Ateeq, adding that the financial benefits of these changes will show over time as production increases.

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Business

IMF and Arab Monetary Fund Sign MoU to Enhance Cooperation

The MoU was signed by IMF Managing Director Dr. Kristalina Georgieva and AMF Director General Dr. Fahad Alturki - SPA
The MoU was signed by IMF Managing Director Dr. Kristalina Georgieva and AMF Director General Dr. Fahad Alturki - SPA
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IMF and Arab Monetary Fund Sign MoU to Enhance Cooperation

The MoU was signed by IMF Managing Director Dr. Kristalina Georgieva and AMF Director General Dr. Fahad Alturki - SPA
The MoU was signed by IMF Managing Director Dr. Kristalina Georgieva and AMF Director General Dr. Fahad Alturki - SPA

The International Monetary Fund (IMF) and the Arab Monetary Fund (AMF) signed a memorandum of understanding (MoU) on the sidelines of the AlUla Conference on Emerging Market Economies (EME) to enhance cooperation between the two institutions.

The MoU was signed by IMF Managing Director Dr. Kristalina Georgieva and AMF Director General Dr. Fahad Alturki, SPA reported.

The agreement aims to strengthen coordination in economic and financial policy areas, including surveillance and lending activities, data and analytical exchange, capacity building, and the provision of technical assistance, in support of regional financial and economic stability.

Both sides affirmed that the MoU represents an important step toward deepening their strategic partnership and strengthening the regional financial safety net, serving member countries and enhancing their ability to address economic challenges.

Business

Saudi Chambers Federation Announces First Saudi-Kuwaiti Business Council

File photo of the Saudi flag/AAWSAT
File photo of the Saudi flag/AAWSAT
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Saudi Chambers Federation Announces First Saudi-Kuwaiti Business Council

File photo of the Saudi flag/AAWSAT
File photo of the Saudi flag/AAWSAT

The Federation of Saudi Chambers announced the formation of the first joint Saudi-Kuwaiti Business Council for its inaugural term (1447–1451 AH) and the election of Salman bin Hassan Al-Oqayel as its chairman.

Al-Oqayel said the council’s formation marks a pivotal milestone in economic relations between Saudi Arabia and Kuwait, reflecting a practical approach to enabling the business sectors in both countries to capitalize on promising investment opportunities and strengthen bilateral trade and investment partnerships, SPA reported.

He noted that trade between Saudi Arabia and Kuwait reached approximately SAR9.5 billion by the end of November 2025, including SAR8 billion in Saudi exports and SAR1.5 billion in Kuwaiti imports.

Business

Leading Harvard Trade Economist Says Saudi Arabia Holds Key to Success in Fragmented Global Economy

Professor Pol Antràs speaks during a panel discussion at the AlUla Conference for Emerging Market Economies (Asharq Al-Awsat).
Professor Pol Antràs speaks during a panel discussion at the AlUla Conference for Emerging Market Economies (Asharq Al-Awsat).
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Leading Harvard Trade Economist Says Saudi Arabia Holds Key to Success in Fragmented Global Economy

Professor Pol Antràs speaks during a panel discussion at the AlUla Conference for Emerging Market Economies (Asharq Al-Awsat).
Professor Pol Antràs speaks during a panel discussion at the AlUla Conference for Emerging Market Economies (Asharq Al-Awsat).

Harvard University economics professor Pol Antràs said Saudi Arabia represents an exceptional model in the shifting global trade landscape, differing fundamentally from traditional emerging-market frameworks. He also stressed that globalization has not ended but has instead re-formed into what he describes as fragmented integration.

Speaking to Asharq Al-Awsat on the sidelines of the AlUla Conference for Emerging Market Economies, Antràs said Saudi Arabia’s Vision-driven structural reforms position the Kingdom to benefit from the ongoing phase of fragmented integration, adding that the country’s strategic focus on logistics transformation and artificial intelligence constitutes a key engine for sustainable growth that extends beyond the volatility of global crises.

Antràs, the Robert G. Ory Professor of Economics at Harvard University, is one of the leading contemporary theorists of international trade. His research, which reshaped understanding of global value chains, focuses on how firms organize cross-border production and how regulation and technological change influence global trade flows and corporate decision-making.

He said conventional classifications of economies often obscure important structural differences, noting that the term emerging markets groups together countries with widely divergent industrial bases. Economies that depend heavily on manufacturing exports rely critically on market access and trade integration and therefore face stronger competitive pressures from Chinese exports that are increasingly shifting toward alternative markets.

Saudi Arabia, by contrast, exports extensively while facing limited direct competition from China in its primary export commodity, a situation that creates a strategic opportunity. The current environment allows the Kingdom to obtain imports from China at lower cost and access a broader range of goods that previously flowed largely toward the United States market.

Addressing how emerging economies should respond to dumping pressures and rising competition, Antràs said countries should minimize protectionist tendencies and instead position themselves as committed participants in the multilateral trading system, allowing foreign producers to access domestic markets while encouraging domestic firms to expand internationally.

He noted that although Chinese dumping presents concerns for countries with manufacturing sectors that compete directly with Chinese production, the risk is lower for Saudi Arabia because it does not maintain a large manufacturing base that overlaps directly with Chinese exports. Lower-cost imports could benefit Saudi consumers, while targeted policy tools such as credit programs, subsidies, and support for firms seeking to redesign and upgrade business models represent more effective responses than broad protectionist measures.

Globalization has not ended

Antràs said globalization continues but through more complex structures, with trade agreements increasingly negotiated through diverse arrangements rather than relying primarily on multilateral negotiations. Trade deals will continue to be concluded, but they are likely to become more complex, with uncertainty remaining a defining feature of the global trading environment.

Interest rates and artificial intelligence

According to Antràs, high global interest rates, combined with the additional risk premiums faced by emerging markets, are constraining investment, particularly in sectors that require export financing, capital expenditure, and continuous quality upgrading.

However, he noted that elevated interest rates partly reflect expectations of stronger long-term growth driven by artificial intelligence and broader technological transformation.

He also said if those growth expectations materialize, productivity gains could enable small and medium-sized enterprises to forecast demand more accurately and identify previously untapped markets, partially offsetting the negative effects of higher borrowing costs.

Employment concerns and the role of government

The Harvard professor warned that labor markets face a dual challenge stemming from intensified Chinese export competition and accelerating job automation driven by artificial intelligence, developments that could lead to significant disruptions, particularly among younger workers. He said governments must adopt proactive strategies requiring substantial fiscal resources to mitigate near-term labor-market shocks.

According to Antràs, productivity growth remains the central condition for success: if new technologies deliver the anticipated productivity gains, governments will gain the fiscal space needed to compensate affected groups and retrain the workforce, achieving a balance between addressing short-term disruptions and investing in long-term strategic gains.