The Fadhili gas plant expansion project worth $7.7 billion continues to progress in Saudi Arabia, strengthening the country’s gas infrastructure strategy. Moreover, the project maintains construction momentum into 2026, even as regional energy developments face varying levels of disruption.
Reportedly the project will be carried out by Samsung Engineering (Samsung E&A) in collaboration with GS Engineering & Construction Corp. (GS E&C) and Nesma & Partners. Samsung E&A is a Korean construction and project management company that provides a full range of engineering services including feasibility studies, design, procurement, construction, and commissioning.
GS E&C on the other hand is a Korean multinational contractor in civil engineering, building, oil & gas, power plants and renewable energy sectors while Nesma & Partners is the leading contracting company in the Kingdom of Saudi Arabia providing reliable and innovative solutions to some of the world’s biggest energy, construction, and infrastructure projects today.
The companies signed contracts regarding the US$ 7.7 billion project with Aramco on 2nd April 2024. Also known as Saudi Aramco and officially known as the Saudi Arabian Oil Group, Aramco, is a state-owned petroleum and natural gas company that is the national oil company of Saudi Arabia and the Fadhili Gas Plant operator.
The Fadhili Gas Plant expansion project is scheduled for completion by November 2027. Reportedly, the substantial increase of 1.5bscfd in its processing capacity will bolster Aramco’s strategy to augment gas production by more than 60% come 2030, relative to the levels recorded in 2021.
Fadhili gas plant expansion project progresses toward 2027 completion
The Fadhili gas plant expansion project remains under active construction, with completion targeted for November 2027. Furthermore, engineering, procurement, and construction activities are advancing across multiple packages. Construction works began in 2024, while contractors continue executing civil, mechanical, and pipeline installations. Additionally, subcontract awards in 2025 confirmed steady on-site progress.
The expansion will increase processing capacity from 2.5 billion to about 4 billion cubic feet per day. Consequently, it will significantly boost Saudi Arabia’s domestic gas supply. At the same time, the project will add approximately 1.5 billion cubic feet per day of new processing capacity. Therefore, it directly supports Saudi Aramco’s target to increase gas output by over 60% by 2030.
Strategic role of the Fadhili gas plant expansion project
The Fadhili gas plant expansion project forms a key part of Saudi Arabia’s Master Gas System growth strategy. Moreover, it strengthens the shift toward cleaner energy sources and industrial diversification. In addition, the project will increase sulphur recovery capacity by around 2,300 tonnes per day. Consequently, it will enhance environmental performance and reduce emissions.
The expansion also supports downstream industries by ensuring stable gas supply for power and petrochemical sectors. Furthermore, it contributes to long-term economic growth and energy security. Notably, the project continues progressing despite regional uncertainty affecting other developments. For instance, the $3.3 billion Kuwait gas project has been placed on hold due to geopolitical tensions, highlighting uneven progress across Gulf energy construction.
Construction outlook remains stable despite regional contrasts
The Fadhili gas plant expansion project demonstrates resilience in execution. Meanwhile, Saudi Arabia continues advancing multiple gas megaprojects simultaneously. Additionally, ongoing investments in gas infrastructure underline a broader shift away from crude oil for domestic power generation. Therefore, projects like Fadhili remain critical to national energy planning. Even so, supply chain pressures and contractor coordination remain key execution challenges. However, current progress indicates that timelines remain largely intact.
About Fadhili Gas Plant
The gas-fired combined heat and power plant was built by Fadhili Plant Cogeneration Company (FPCC) at an estimated cost of US$ 13.3bn. Its construction began back in 2016. The works were carried out in three sections which included the construction of a gas processing unit, the construction of utilities and offsite facilities such as nitrogen, steam, power and water systems, and the construction of a sulphur recovery system.
Currently, the facility comprises a total of five gas turbines with associated heat recovery steam generators and two steam turbines with air-cooled condensers that enable a high fuel utilization factor of up to 81.1%.
It processes an estimated 2bcf/d of non-associated gas from the Hasbah offshore gas field and 500mmcf/d of gas from the Khursaniyah onshore gas field producing 1.5bcf/d of sales gas and 4,000 metric tons a day of sulphur. It also produces 470mmcf/d of gas that is supplied to a nearby co-generation power plant that was constructed alongside the Fadhili Gas Plant.
The cogeneration power plant was developed as per a build, own, operate and transfer system (BOOT) agreement that is valid for a period of 20 years by a joint venture between Saudi Aramco (30%), ENGIE (40%), and Saudi Electricity Company (60%).
Engie is a French multinational utility company that operates in the fields of electricity generation and distribution, natural gas, nuclear, renewable energy and petroleum. Noteworthy, the company is active in both upstream and downstream activities. Saudi Electricity Company on the other hand is the Saudi electric energy company responsible for the generation, transmission and distribution of electric power in Saudi Arabia.
The cogeneration power plant has a capacity of 1,500MW, 400MW of which is supplied to the Fadhili Gas Plant while the rest (1,100MW) is supplied to the national grid.
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Project Fact Sheet
Project Name: Fadhili Gas Plant Expansion Project
Location: Eastern Province, Saudi Arabia
Estimated Cost: $7.7 billion
Client / Operator: Saudi Aramco
Project Type: Brownfield gas plant expansion
Scope:
- Addition of three gas processing trains (500 million cf/d each)
- Expansion of sulfur recovery units
- Installation of pipelines and utilities infrastructure
Capacity:
- Current:5 billion cubic feet per day
- Expanded: Up to 4 billion cubic feet per day
Sulfur Production Increase: +2,300 metric tonnes per day
Timeline:
- Construction start: 2024
- Current status (2026): Under construction
- Expected completion: November 2027
Strategic Objectives:
- Increase domestic gas supply
- Support industrial growth
- Reduce reliance on crude oil for power
- Enable lower-carbon energy transition
Project Team
Client / Operator: Saudi Aramco
EPC Contractors:
- Samsung Engineering (South Korea)
- GS Engineering & Construction (South Korea)
- Nesma & Partners (Saudi Arabia)
Subcontractors and Suppliers:
- Consolidated Contractors Company (selected packages)
- Additional specialist contractors for pipelines and utilities
Project Structure: Multiple EPC packages covering processing units, sulfur recovery, and infrastructure
Key Stakeholders:
- Saudi energy authorities
- Industrial gas consumers
- Power generation sector