Aramco to Invest up to $100M in KAUST Research, Development Projects

According to a memorandum of understanding between the parties, Aramco will finance up to $100 million in research and development projects with KAUST over the next decade. The research, designed to deliver environmental and commercial benefits, ranges from essential to applied technologies.

“The partnership exemplifies KAUST's dedication to fostering research that drives technological advancements and addresses real-world challenges,” said Tony Chan, KAUST President. “Our collaboration with Aramco will leverage our combined expertise to develop solutions for a sustainable future."

Collaborative research areas, focused on developing commercially viable results, include the energy transition, sustainability, materials transition, upstream technologies, and digital solutions. Additional projects will focus on advanced carbon materials, geothermal energy, and more.

“This collaboration will further deepen Aramco’s relationship with KAUST and we look forward to exploring new possibilities and frontiers with a strong focus on R&D and technology development, reflecting our firm belief in the importance of innovation across industries and applications,” said Amin H. Nasser, President and CEO of Aramco.

Sub-topics within selected research areas include:

• Energy Transition
  • Liquids-to-chemicals conversion
  • Future refineries research
  • Low-carbon aviation fuels
• Sustainability
  • Hydrogen
  • Carbon capture and storage
  • Renewables
  • Energy storage solutions

Aramco’s Energy News

In July 2024, Aramco agreed to a 50% equity interest in Air Products Qudra’s BHIG in Al Jubail, Saudi Arabia, per signed definitive agreements. The subsidiary transaction includes options for Aramco to offtake hydrogen and nitrogen. Aramco’s BHIG investment helps to establish a lower-carbon hydrogen network to serve domestic and regional customers in Saudi Arabia’s Eastern Province.

Air Products Qudra, a joint venture between Air Products and Qudra Energy, will own a 50% stake upon transaction completion. BHIG is designed to produce lower-carbon hydrogen while capturing and storing CO₂, beginning commercial operations in line with Aramco’s carbon capture and storage activities.

Also in July, Aramco granted contracts worth over $25 billion to accelerate its strategic gas expansion projects—the Jafurah unconventional gas field, the Master Gas System, new gas rigs, and ongoing capacity maintenance.

Aramco awarded 16 contracts for phase-two Jafurah development valued at approximately $12.4 billion. Development work involves the construction of gas compression facilities and pipelines and expansions of the Jafurah Gas Plant, including gas processing trains and utilities, sulfur, and export facilities. The work also includes the construction of Riyas NGL fractionation trains and utilities, storage, and export facilities.

Fifteen lump-sum turnkey contracts were awarded for phase-three expansion of Aramco’s Master Gas System, valued at approximately $8.8 billion. The expansion increases the network’s size and will raise total capacity by 3.15 billion standard cubic feet per day by 2028. Capacity buildout will be supported by installing approximately 4,000 km of pipelines and 17 gas compression trains.