𝐒𝐀𝐔𝐃𝐈 𝐀𝐑𝐀𝐁𝐈𝐀𝐍 𝐅𝐈𝐑𝐌 𝐒𝐈𝐆𝐍𝐒 𝐓𝐖𝐄𝐍𝐓𝐘 𝐘𝐄𝐀𝐑 𝐃𝐄𝐀𝐋 𝐖𝐈𝐓𝐇 𝐋𝐍𝐆 𝐅𝐀𝐂𝐈𝐋𝐈𝐓𝐘 𝐀𝐓 𝐏𝐎𝐑𝐓 𝐎𝐅 𝐁𝐑𝐎𝐖𝐍𝐒𝐕𝐈𝐋𝐋𝐄

 

Saudi Aramco, the world’s biggest oil company, is making a major move into liquefied natural gas (LNG), and Brownsville is playing a central role. As countries around the world push for cleaner energy, Aramco is shifting its strategy to include natural gas and the Gulf coast is where that shift is gaining momentum. One of the biggest developments is happening in Brownsville, where Aramco has signed a long-term deal tied to the Rio Grande LNG project.

In April 2025, Aramco agreed to buy 1.2 million tons of LNG per year for 20 years from the Rio Grande LNG facility near Brownsville. The gas will be priced based on the U.S. Henry Hub benchmark, that sets natural gas prices worldwide, giving Aramco access to reliable and affordable American energy. This deal also helps move forward a $12 billion investment decision for the project’s expansion. Brownsville is quickly becoming a key point in the global LNG trade, attracting billions in investment and establishing itself as a major export hub.

LNG is gaining popularity as a cleaner-burning alternative to coal and oil. Demand is rising fast in Europe and Asia, where countries are looking to secure long-term energy supplies and reduce their dependence on Russian gas. For Aramco, investing in LNG now, especially in places like Brownsville and other parts of Texas, is a way to diversify its income, build stronger ties with the U.S., and stay competitive in a changing global energy market.

In addition to the Brownsville deal, Aramco is in advanced discussions to buy 2 million tons of LNG annually from the Commonwealth LNG terminal in Louisiana. If that agreement is finalized, Aramco will hold 3.2 million tonnes per year of LNG from the U.S., a major step in its push to become a significant player in global gas exports.

These LNG investments come with high upfront costs, but they offer long-term benefits. Contracts like the one in Brownsville help secure financing for large infrastructure projects by giving them guaranteed buyers. For Aramco, these deals create steady, predictable income that can support the company’s future plans, especially as it balances rising debt and its large dividend payouts to the Saudi government.

Rio Grande LNG at Port of Brownsville