Strategic View: Saudi Aramco signed an $11 billion lease-and-leaseback agreement for Jafurah gas processing facilities with a consortium led by Global Infrastructure Partners (BlackRock). The consortium includes Hassana Investment Company, The Arab Energy Fund, Aberdeen Investcorp Infrastructure Partners, and institutional investors from North/Southeast Asia and Middle East. The 20-year structure unlocks capital from Aramco’s asset base while retaining operational control, with Jafurah production targeted for year-end 2025.
Full story: Aramco’s Jafurah transaction represents financial engineering at mega-scale, combining infrastructure monetization with strategic gas expansion. The deal structure—a lease-and-leaseback through newly formed Jafurah Midstream Gas Company—enables Aramco to unlock $11 billion in capital without relinquishing long-term control over one of the world’s largest unconventional gas developments. GIP’s leadership, now under BlackRock’s infrastructure platform following acquisition, brings unparalleled infrastructure capital markets expertise and institutional LP relationships essential for consortiums of this magnitude.
The consortium’s composition reflects sophisticated risk-sharing across complementary investor types. Hassana Investment Company, managing Saudi pension and social insurance assets, secures domestic exposure to strategic energy infrastructure. The Arab Energy Fund provides regional expertise and political alignment. Aberdeen Investcorp Infrastructure Partners contributes Sharia-compliant structuring capabilities. Institutional investors from North Asia (likely Japanese and Korean pension/insurance) and Southeast Asia (Singaporean sovereign wealth) diversify capital sources while spreading geopolitical risk.
This multi-anchor structure is increasingly common in Gulf energy infrastructure, balancing domestic strategic control with international capital efficiency. Jafurah field contains estimated 200 trillion cubic feet of raw gas, positioning it among the world’s largest shale gas developments. The processing facilities covered by this transaction will handle initial production volumes, with expansion capacity as drilling intensifies. Aramco’s strategic rationale extends beyond immediate capital: demonstrating investability of Saudi energy infrastructure to international institutions supports broader economic diversification goals. The 20-year lease term provides GIP consortium participants with ultra-long duration cash flows indexed to gas processing volumes—attractive characteristics for pension funds and insurers with long-dated liabilities.
The transaction closed in October 2025, with production commencing as planned. For Aramco, this validates asset monetization as a capital management tool, potentially establishing a template for future infrastructure partnerships. For GIP and consortium participants, it represents rare access to world-scale energy infrastructure with sovereign counterparty credit and strategic importance to global LNG markets. The deal underscores how mega-infrastructure increasingly relies on club deal structures to marshal requisite capital while preserving operational control.
Summary: Aramco’s $11 billion lease-and-leaseback club deal for Jafurah gas infrastructure, led by Global Infrastructure Partners, demonstrates sophisticated asset monetization in Gulf energy. The consortium structure—balancing regional and international institutional investors—provides patient capital for one of the world’s largest gas developments. This matters because it establishes infrastructure partnerships as viable tools for Gulf energy transition while offering institutional investors exposure to strategic, long-duration energy assets.
Source: Saudi Aramco Official Announcement, Aramco Life, Egypt Oil & Gas, Argaam
