Latest news with #leaseback
Arabian Business
4 days ago
- Business
- Arabian Business
Aramco seals $11bn Jafurah gas deal with BlackRock-led consortium
Saudi Aramco has signed an $11bn lease and leaseback agreement for its Jafurah natural gas processing facilities with a consortium of global investors led by funds managed by Global Infrastructure Partners (GIP), part of BlackRock. The deal involves Jafurah Midstream Gas Company (JMGC) leasing development and usage rights for the Jafurah Field Gas Plant and the Riyas NGL Fractionation Facility, and then leasing them back to Aramco for 20 years. JMGC will receive a tariff from Aramco in exchange for exclusive rights to process and treat raw gas from Jafurah. Saudi Aramco gas deal Aramco will retain a 51 per cent majority stake in JMGC, while GIP and co-investors, including leading institutional investors from Asia and the Middle East, will hold the remaining 49 per cent. The transaction, which places no restrictions on Aramco's production volumes, is expected to close following customary conditions. Jafurah, the largest non-associated gas development in Saudi Arabia, holds an estimated 229tn standard cubic feet of raw gas and 75bn stock tank barrels of condensate. It is central to Aramco's strategy to increase gas production capacity by 60 per cent between 2021 and 2030 to meet growing demand. Aramco president and chief executive Amin Nasser, said: 'Jafurah is a cornerstone of our ambitious gas expansion program, and the GIP-led consortium's participation as investors in a key component of our unconventional gas operations demonstrates the attractive value proposition of the project. 'This foreign direct investment into the Kingdom also highlights the appeal of Aramco's long-term strategy to the international investment community. 'As Jafurah prepares to start phase one production this year, development of subsequent phases is well on track'. 'We look forward to Jafurah playing a major role as a feedstock provider to the petrochemicals sector, and supplying energy required to power new growth sectors, such as AI data centres, in the Kingdom.' GIP chairman and chief executive Adebayo Ogunlesi said: 'We are pleased to deepen our partnership with Aramco with our investment in Saudi Arabia's natural-gas infrastructure, a key pillar of global natural-gas markets. 'Today's announcement builds upon BlackRock and GIP's longstanding relationship with Aramco to serve growing market needs for cleaner fuels, energy security, and energy affordability.' The transaction is expected to optimise Aramco's assets, unlock additional value from the Jafurah field, and further deepen ties between Aramco and BlackRock. In 2022, BlackRock co-led a consortium that invested in Aramco Gas Pipelines Company.
The National
4 days ago
- Business
- The National
Saudi Aramco signs $11bn Jafurah deal with BlackRock-led consortium
Saudi Aramco on Thursday signed an $11 billion lease and leaseback agreement for midstream gas-processing plants at its Jafurah field with a consortium led by BlackRock's Global Infrastructure Partners. Under the transaction, a newly formed subsidiary called the Jafurah Midstream Gas Company will lease development and use rights for the Jafurah Field Gas Plant and the Riyas NGL Fractionation Facility, and then lease them back to Aramco for a 20-year period. Aramco will hold a 51 per cent stake in the newly formed JMGC subsidiary, with investors led by GIP holding the remaining 49 per cent. The companies said the deal is expected to be closed 'as soon as practicable', subject to customary conditions. Jafurah, the largest non-associated gasfield in Saudi Arabia, is a key player in Aramco's ambitions to increase gas production capacity by 60 per cent between 2021 and 2030. Jafurah is estimated to contain 229 trillion standard cubic feet of raw gas and 75 billion stock tank barrels of condensate. The company has said it anticipates total overall life cycle investment at the project to pass $100 billion. 'Jafurah is a cornerstone of our ambitious gas expansion programme, and the GIP-led consortium's participation as investors in a key component of our unconventional gas operations demonstrates the attractive value proposition of the project,' said Aramco chief executive Amin Nasser. The Jafurah basin, with about 200 trillion standard cubic feet of gas in place, is the largest liquid-rich shale gas play in the Middle East. Jafurah is an unconventional gasfield, which means energy resources are trapped inside layers of rock that require special equipment to access. 'We look forward to Jafurah playing a major role as a feedstock provider to the petrochemicals sector, and supplying energy required to power new growth sectors, such as AI data centres, in the kingdom,' Mr Nasser said. Co-investors in the deal included some in the Middle East and Asia, the companies said. It is expected to capture more from the development of the Jafurah gasfield and support optimisation of Aramco's assets, they said. The companies also said the investment adds to the strong relationship between Aramco and BlackRock. 'Today's announcement builds upon BlackRock and GIP's long-standing relationship with Aramco to serve growing market needs for cleaner fuels, energy security and energy affordability,' said Bayo Ogunlesi, GIP chairman and chief executive.
News.com.au
07-08-2025
- Business
- News.com.au
Display home makes new owner $182k a year
A savvy investor will make $182,000 a year – triple the suburb's typical rent – after snapping up a display home for $2.6m. The newly built four-bedroom house in SkyRidge Estate on the Gold Coast was sold with a 7 per cent leaseback agreement, meaning the builder will continue to lease the property after settlement at about $3,500 a week. PropTrack data shows the median rental price for a four-bedroom house in Worongary, where the estate is located, is $1,100 a week, up 22 per cent over the past 12 months. The double-storey home on a 512 sqm lot was built by Brighton Homes in the emerging community, where 322 lots have been completed and settled to date. Agent Gerard McClelland said the deal was an attractive option for investors chasing a strong short-term rental yield above the typical 4 to 5 per cent. He said the leaseback model allowed the builder to free up capital while continuing to showcase its homes to prospective buyers in the estate. 'These display homes are premium properties with all the bells and whistles,' Mr McClelland said. 'In the case of the Brighton Black which sold for $2.6m, this is the most deluxe home in our range. The wow factor is just screaming at you.' The home at 37 Parkway Cct was described as 'an exquisite ode to coastal tranquility', with a floorplan comprising four generously sized bedrooms, four bathrooms and three living spaces, opening to an entertaining terrace and pool. 'Each space is crafted to evoke a sense of refined luxury, seamlessly blending contemporary flair with timeless sophistication,' the listing stated. 'Every detail embodies the essence of coastal elegance.' Features included a designer kitchen with sleek white and powder blue cabinetry, an island bench and butler's pantry, herringbone floors, pendant lighting, and a striking white façade with tall arched windows. 'It can take a while to sell the display homes depending on the price,' McClelland said. 'But the investor market is waking up to the fact 7 per cent is a pretty good return, and in this case I sold two of them in the same week, both to cash buyers.' 22 Qld suburbs set for Olympic boom Inside $1.5b housing estate sale The second home, Brighton's Grayson 30, sold a few doors down for $1.83 million. That buyer will earn an annual return of $128,100, and may move into the property once the lease ends. Often used by developers to showcase their builds, display homes are typically finished to a high spec and well maintained during the leaseback period. The sale comes as the developer behind SkyRidge listed its stake via an expressions of interest campaign. Western Australia-based Perron Group, alongside Queensland businessman Ross Atkins, has appointed Ray White Special Projects (RWSP) and Melbourne-based B&S Land to handle the campaign. The $1.5b project spans 297ha with planning approval for 3,500 dwellings, and is expected to be home to more than 10,000 people once completed in 2036. SkyRidge recently notched up its first $1 million land sale of a 700 sqm block, while Metricon holds the estate's top sale records, with two of its display homes snapped up for $2.8m each. House prices in Worongary have climbed 4.5 per cent over the past 12 months, to a median of $1.285m.
