Aramco to enter global LNG business by acquiring stake in MidOcean Energy

Saudi oil company Aramco has signed a deal to acquire a $500 million stake in MidOcean Energy, a liquefied natural gas (LNG) company led by EIG, the companies announced in a joint statement on Thursday.

The agreement builds on the relationship between Aramco and EIG, which was part of a consortium that acquired a 49% stake in Aramco Oil Pipelines Company, a subsidiary of Aramco, in 2021.

This partnership with MidOcean Energy marks Aramco’s first international investment in LNG.

According to the statement, MidOcean Energy is currently in the process of acquiring interests in four Australian LNG projects, with a growth strategy to create a diversified global LNG business.

‘We anticipate strong demand-led growth for LNG as the world continues on its energy transition journey, with gas being a vital fuel and feedstock in various industries. We believe that gas will be important in meeting the world’s rising need for secure, accessible and more sustainable energy,’ Aramco’s President and CEO, Amin Nasser, was quoted as saying in the statement.

‘We share the conviction that LNG is an integral enabler of the global energy transition, and we believe that the global LNG industry has strong fundamentals for many decades to come. We look forward to pursuing many new opportunities with Aramco,’ MidOcean Energy’s CEO, De la Rey Venter, said.

• liquefied natural gas (LNG)