Middle East gas producers call for $200bn investment to meet energy demand

The Middle East’s natural gas sector will require $200bn of investment over the next four years to increase production by 30 per cent and meet rapidly rising demand for power, delegates at the first Middle East Gas Conference in Dubai said.

The call comes as the region prepares for a sharp increase in electricity needs driven by population growth, industrial expansion, air conditioning, desalination and the rapid development of AI infrastructure.

More than 150 executives from leading national and international oil and gas companies convened to discuss how to unlock the next phase of growth in the region’s gas industry.

Participants urged accelerated investment in production capacity to support economic diversification, reduce reliance on oil in power generation and secure reliable, lower-carbon energy supplies.

Gas sector investment

The conference, organised by Petroleum Economist in partnership with host sponsor Crescent Petroleum, brought together senior policymakers and executives from:

• ADNOC
• Aramco
• XRG
• Bapco Energy
• RAK Gas
• Dana Gas
• SNOC
• Shell

Global financial institutions including Deutsche Bank, Cantor Fitzgerald and FAB also participated, with particular focus on financing natural gas projects.

Majid Jafar, CEO of Crescent Petroleum and Board Managing Director of Dana Gas, said: “Our region is on track to become the world’s second-largest producer of natural gas, behind North America.

“Since 2020, gas production has grown over 15 per cent, and is expected to rise another 30 per cent by 2030, which will require $200bn of investment.

“This is not just about meeting energy needs. It is about creating new economic opportunities, driving industrial diversification, and fostering stronger regional ties.

“Gas will be central to ensuring energy security, supporting industrial development, and enabling the clean energy transition.”

Energy transition

Delegates noted that regional gas producers will need to add 14 bcfd of new supply by 2030—equivalent to the entire gas demand of Europe’s power sector—to reach 86 bcfd.

The expansion is expected to be further fuelled by AI-driven demand, with server farms in the UAE and Saudi Arabia seeking stable, reliable and cost-efficient baseload power.

Natural gas is viewed as a key enabler due to the region’s competitive energy prices, modern infrastructure and available capital.

The event, held at the Waldorf Astoria DIFC, included keynote speeches from Musabbeh Al-Kaabi, CEO of ADNOC Upstream, and Abdulkarim Al-Ghamdi, Executive Vice President for Gas at Saudi Aramco.

Industry leaders emphasised the importance of strengthening partnerships between producers, investors and governments, while promoting new investment models and robust regulatory frameworks to develop integrated, resilient regional gas networks.

Middle East Gas Conference in Dubai

Abdulkarim Ghamdi, Executive Vice President for Gas at Saudi Aramco, said: “Today’s discussions underline how critical gas and related infrastructure are for meeting rising power demand, supporting industrial growth, and enabling sustainable future energy pathways.

“Delivering on that potential depends on closer cooperation between governments, investors, and industry, and the IEF Industry Advisory Council helps make that possible by bringing leading energy companies into the conversation with essential real-world insight, strengthening the bridge between policymakers, financiers, and the sector in support of global energy security.”

Jassim Alshirawi, Secretary General of the International Energy Forum (IEF), said: “As the global energy landscape rapidly evolves, one fact is clear across all scenarios: the world will need significantly more energy that is reliable, affordable, and lower-carbon.

“This places natural gas at the centre of the global energy strategy. At Aramco, we are advancing one of the most ambitious gas expansion programs in our history, targeting an ~80 per cent increase in sales gas production capacity by 2030 versus 2021 production levels, resulting in reaching around 6 million barrels of oil equivalent per day of total gas and associated liquids.

“This growth is expected to deliver $12-15bn in incremental operating cash flow. With among the lowest upstream costs carbon and methane intensities, leading technologies, exceptional talent, and strong partnerships, we are helping build an energy system that works for all.”