Riyadh – Mubasher: Saudi Arabian Oil Company (Aramco) has awarded a contract for a carbon capture and sequestration (CCS) project to Abdullah Fahad Al-Khaledi for General Contracting (AFAC).

The CCS Phase 1 project aims to build a CCS hub, transportation pipeline, and injection systems to store nine million tonnes per annum (MTPA) by 2027, according to a press release.

It will capture CO2 emissions from three Aramco gas plants and other sources, transport the CO2, and inject it into a reservoir for storage.

The scope includes conditioning and compressing CO2 from the Aramco gas plants, then transporting it through a pipeline of more than 200 kilometres to the injection site.

The project seeks to support the transition of local industries to cleaner, more sustainable operations, with potential for expansion in future phases.

On 17 March 2024, Aramco awarded the site development and early works package for its CCS project in Saudi Arabia to AFAC, under a joint development agreement with Linde and SLB.

Earlier in June, Aramco signed SAR 2.95 billion contracts with Tadawul-listed companies for manufacturing and supply of steel pipes.

The energy giant completed the secondary public offering of ordinary shares by the government, with a final offer price at SAR 27.25 per share.