Saudi Aramco to start producing unconventional gas by end-March

Saudi Aramco, the world’s largest oil exporter, plans to start pumping unconventional natural gas at its North Arabia basin this month, Bloomberg reported, citing a senior company executive.

The Kingdom’s gas resources from shale and other alternative supplies are “huge,” Khalid Al Abdulqader, general manager of unconventional resources at Aramco, told the news agency.

Production will start at the North Arabia basin by end-March and reach its target by the end of this year, he said.

Aramco is also drilling for unconventional gas in the South Ghawar and Jafurah basins.

Jafurah in eastern Saudi Arabia is similar in size to Eagle Ford, Abdulqader said.

According to the US Energy Information Administration, Eagle Ford had 22.7 trillion cubic feet of natural gas reserves from shale in 2016.

Meanwhile, Al Abdulqader said Aramco plans to develop the entire basin, using improved technology to reduce fracking costs.

Last year, Aramco chief executive Amin Nasser said the oil giant plans to spend $300 billion on projects over the next 10 years to maintain its spare production capacity for oil and boost exploration for and output of conventional and unconventional gas.