MWG Enterprises, a Fort Worth-based energy development firm, Patel Family Office, a third-generation global family office, and PWS, an affiliate of the long-standing Saudi industrial conglomerate AHQ Group, have jointly established MERA Oil. Furthermore, this US-Saudi private consortium is now entering the final phase of selecting a host site for its proposed $5 billion integrated refinery. The project will also feature an energy export corridor. This project alongside the planned Oxagon City Gas Plant will serve to meet Saudi’s energy demands and industrial power needs.
Three Sites Proposed for the Project
Following three years of evaluating potential sites across the Gulf, the MERA Oil consortium has narrowed its options to three GCC locations. These locations are positioned outside the Strait of Hormuz. Also, discussions with these candidate sites have advanced over the last two years. Currently, they are nearing a final decision, with a preferred host anticipated to be confirmed by the end of 2026.
Although negotiations with the three shortlisted sites are in an advanced state, the consortium remains open to a compelling proposal from another qualifying GCC jurisdiction that can fulfill the project’s requirements regarding route resilience, infrastructure, and development timelines prior to the final selection.
Refinery Capacity
Furthermore, the envisioned development features a 200,000-barrel-per-day integrated refinery connected to deepwater port infrastructure, extensive storage facilities for crude and refined products, and marine export capabilities. Moreover, situated outside the Strait of Hormuz, the complex is structured to serve as a route-resilient export hub. It will offer direct connectivity to global shipping lanes.
Additionally, the project aims to build a lasting industrial foundation designed to enhance regional manufacturing, logistics, technical expertise, and energy security.
“Three years of regional evaluation and two years of close engagement with three outstanding sites have brought us to a clear decision point. The sponsor partnership is set, the development concept and capital strategy are established, and we are now selecting our host. The jurisdiction that acts decisively with us over the coming months will secure a major new downstream, storage, and energy-export platform,” stated Marc W. Gunderson, Founder of MWG Enterprises.
Phase One
The Phase One capital plan of up to $5 billion is tailored to construct a modern energy complex incorporating energy-efficient refining systems and state-of-the-art emissions controls. The project design is also evaluating sustainable aviation fuel co-processing and carbon-management technologies for prospective future integration.
A pre-feasibility study examining the refinery’s configuration, product mix, preliminary capital requirements, logistics, and phased implementation is near completion. Once a host jurisdiction is finalized, the project will transition into ultimate site diligence and engineering design, aiming for mechanical completion of Phase One by the end of 2029, with commissioning and commercial operations to follow.
This initiative aligns with broader regional efforts in the Gulf to expand local refining, storage, and export capacity. GCC Statistical Centre data indicates that the six GCC nations exported roughly 11.5 million barrels of crude oil per day in 2024, accounting for nearly a quarter of global crude exports.
Output Objective
The planned output focuses on high-specification middle distillates, such as ultra-low sulfur diesel and jet fuel, intended for targeted import-dependent markets in the United States, the Atlantic Basin, the Gulf region, and other international destinations, subject to finalized engineering and off-take agreements.
“Expanding domestic value creation remains one of the Gulf’s key industrial priorities. Moreover, over seven decades of industrial activity across the Kingdom have shown us what a project of this magnitude should deliver for its host. It will bring jobs, local supply opportunities, technical expertise, and enduring industrial strength aligned with regional national visions. We look forward to concluding this selection with the jurisdiction. Also, we are ready to move quickly and deliver,” remarked Abdulmalik Alqahtani, Group Chief Executive Officer of AHQ Group.
For the selected host jurisdiction, the initial Phase One project represents a substantial industrial investment spanning refining, storage, maritime port, and logistics infrastructure.
Land Area/Size
Furthermore, the facility is planned for development across roughly 1,200 to 1,500 acres of port-linked industrial land. Moreover, it is intended to generate long-term economic value through local supply chains, engineering opportunities, workforce training, and industrial expansion in alignment with national In-Country Value programs.
Preliminary sponsor estimates project that the development will support up to 3,000 direct positions during peak construction, commissioning, and operation, alongside as many as 15,000 indirect and induced jobs.
“This represents multigenerational infrastructure, and it must be structured to institutional standards from day one: sound governance, a balanced capital model built for long-term stability, and a transparent relationship with the host government. Additionally, Patel Family Office is actively connecting with sovereign and institutional partners who share this perspective,” stated Lakshmi Narayanan, Vice Chair of Patel Family Office.
Current Status of the Project
Also, the MERA Oil consortium is currently holding talks with feedstock providers both within and outside the GCC, with binding agreements expected to proceed alongside the final host selection.
Lastly, funding for the planned Phase One capital program is anticipated to combine sponsor equity. Also, it will combine sovereign and institutional investment, international project finance, export-credit facilities, and Shariah-compliant financing structures.
MERA Oil: Project Factsheet
Project Name: MERA Oil Project
Consortium: MERA Oil (US-Saudi Private Consortium)
Consortium Partners:
- MWG Enterprises (Fort Worth, US energy development company)
- Patel Family Office (3rd-generation global family office)
- PWS (Associate company of Saudi Arabia’s AHQ Group)
Total Estimated Capital (Phase One): Up to US$5 billion
Core Infrastructure and Technical Specifications
Refining Capacity: 200,000 barrels per day (bpd)
Key Components:
- Integrated crude refinery
- Deepwater port connectivity & marine export facilities
- Large-scale storage tanks for crude and refined products
Target Output / Product Slate: High-specification middle distillates, primarily:
- Ultra-Low Sulphur Diesel (ULSD)
- Jet Fuel
Target Export Markets: United States, Atlantic Basin, Gulf region, and selected international markets
Sustainability and Future Technologies:
- Energy-efficient refining configurations
- Advanced emissions-control systems
Future evaluations: Sustainable Aviation Fuel (SAF) co-processingand carbon management capabilities
Site & Location Requirements
Geographic Strategic Location: Outside the Strait of Hormuz (in the GCC) for route resilience and direct international shipping access
Land Requirement: 1,200 to 1,500 acres of port-connected industrial land
Current Status: 3 shortlisted GCC locations in final discussions; open to superior qualifying proposals
Key Timeline and Milestones
- Location Evaluation Period: 3 years across the region (2 years of detailed host engagement)
- Final Host Selection Target: By the end of 2026
- Next Phase Post-Selection: Site diligence & Front-End Engineering Design (FEED)
- Phase One Mechanical Completion: Target end of 2029
- Follow-on Phase: Commissioning & Commercial Operations
Financial & Commercial Structure:
- Capital Structure: Sponsor equity, sovereign and institutional co-investment, international project finance, export-credit support, and Shariah-compliant financing structures
- Feedstock Sourcing: Active negotiations with providers both inside and outside the GCC
Project Team
MWG Enterprises: Project Developer and Sponsor
Patel Family Office: Sovereign and Institutional Investment Partner
PWS / AHQ Group: Regional Industrial and Operating Partner
Leave a Reply