Global oil producers are planning to invest heavily in their oil and gas infrastructure, after three years of under-investment following the oil price collapse in 2014.

Globally, it is estimated that $20tn over the next 25 years is needed to meet expected growth in demand and compensate for depleting production from existing developed oil assets.

In the Gulf, the investment plans are enormous. As the world’s largest oil exporter, Saudi Arabia has the most significant spending plans. Saudi Aramco plans to increase its spending to $414bn over the next decade.

In Kuwait, Kuwait Petroleum Corporation (KPC) plans to spend more than $500bn in order to realise its plans of boosting crude oil production by 2040. While in the UAE, Abu Dhabi National Oil Company (Adnoc) has a five-year capital expenditure (capex) plan of $132.3bn in 2019-23.

These spending plans will create a wealth of opportunities for the region’s banks, and deals are starting to be realised. KPC is expected to close an agreement with lenders to raise a loan of up to KD1bn ($3.29bn) in the first quarter of 2019, and a KPC subsidiary, Kuwait Integrated Petrochemical Industries Company (Kipic), is looking to borrow up to $2.6bn from banks and export credit agencies to build a liquefied natural gas (LNG) import terminal.

In July it was reported that Saudi Aramco is considering tapping the international bond market for the first time to finance the acquisition of petrochemical giant Saudi Basic Industries Corporation (Sabic).

Earlier this year Adnoc was reported to be planning to raise a $3bn syndicated loan with the participation of Japan’s export credit agency, the Japan Bank for International Cooperation (JBIC), a deal that would supplement a $3bn bond issued last year through its subsidiary Abu Dhabi Crude Oil Pipeline (ADCOP).

Oil and gas may have lost some of its kudos in recent years, thanks to the rise of renewable energy, but with clear revenue streams and solid reputations, regional and international banks will be keen to close these financing deals, and will no doubt have appetite for more in the future.