Saudi Aramco has moved forward with another major phase of the Jafurah unconventional gas development, with India’s Larsen & Toubro confirming a large EPC contract for new gas-compression facilities.
MEED reported on 24 August 2026 that L&T had formally announced the contract for the fourth expansion phase, with the award estimated at about $1.5 billion.
L&T said its Energy Hydrocarbon Onshore business will undertake engineering, procurement and construction of new gas-compression plants comprising inlet facilities, compression systems, condensate and produced-water handling, propane refrigeration and associated utilities.
The power requirements for the facilities will also involve the construction of two 230kV extra-high-voltage substations, extending the project’s procurement scope beyond process equipment into transmission and electrical infrastructure.
Jafurah is one of Saudi Arabia’s most important gas developments. Aramco has previously said lifecycle investment in the field is expected to exceed $100 billion, with the broader development intended to make additional gas, ethane, condensate and natural-gas liquids available to the domestic market and downstream industry.
The latest award creates opportunities across process equipment, compressors, pipelines, high-voltage systems, mechanical and electrical works and specialist subcontracting as construction progresses.
Sources: MEED, 24 August 2026; Larsen & Toubro, 24 August 2026; Aramco project information.