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Sinopec signs a US$1.1bn deal with Aramco to build gas pipelines in Saudi Arabia

Sinopec Oilfield Service Company, a subsidiary of the Chinese group Sinopec, has signed a CNY7.96bn (US$1.1bn) agreement with the Saudi state oil company Saudi Aramco to build natural gas pipelines in Saudi Arabia. 

The contract is for Sinopec to procure and construct Packages 6 and 7 of the third phase of Saudi Arabia’s Master Gas System, which includes trunk lines with a total length of 2,630 km, as well as 1,340 km of branch lines. The scheme is part of Aramco's plan to expand gas distributions across the country. Under the deal, Sinopec is expected to complete construction by end of May 2027.

In January 2024, Sinopec was already selected by Aramco to build a US$3.3bn gas refinery in Saudi Arabia.