Inspectioneering
News

Saudi Aramco Sees Progress on Chemical Project Plan with SABIC by Year-End

Reuters, October 24, 2017
Reuters

Saudi Aramco expects to decide by the end of 2017 on plans for a joint oil-to-chemicals project with Saudi Basic Industries Corp (SABIC), Aramco’s chief executive said on Tuesday. An industry source said in August that state oil firm Aramco and government-controlled SABIC had sought bids for engineering work on the venture to produce chemicals. The project, known as COTC, is a key to plans for a chemicals complex costing $20 billion or more. It is the first major scheme involving the two state giants.

We finished the feasibility. We are at a stage where we need to work together and make some decision about proceeding with the project with SABIC,” Saudi Aramco Chief Executive Officer Amin Nasser told Reuters.

Things are looking good so far so hopefully we will be meeting soon and making an announcement,” he said on the sidelines of an investment conference in Riyadh, adding that a decision was expected “before the year-end.

Aramco, responsible for crude output from the world’s biggest oil exporter and with oil investments around the world, is in talks with China National Petroleum Corporation (CNPC) on building a 260,000 barrel-per-day refinery in Yunnan province, China.

We are serious about partnering with CNPC on Yunnan,” Nasser said, adding that the plans were “on the right track.

We are hopeful that we can do something early next year in this project,” he added.

Aramco also signed a framework agreement this year with Chinese defense conglomerate China North Industries Group Corp (Norinco) to build a refinery and chemicals complex in northeast China. Nasser said talks with Norinco covered upgrading an existing refinery with some associated retail business and building a new refinery with 300,000 bpd capacity.

(Reporting by Rania El Gamal; Editing by Edmund Blair)

Click here to read the full article from Reuters.

Copyright 2019 Thomson Reuters. Click for restrictions.

Comments and Discussion

There are no comments yet.

Add a Comment

Please log in or register to participate in comments and discussions.


Inspectioneering Journal

Explore over 20 years of articles written by our team of subject matter experts.

Company Directory

Find relevant products, services, and technologies.

Job Postings

Discover job opportunities that match your skillset.

Case Studies

Learn from the experience of others in the industry.

Event Calendar

Find upcoming conferences, training sessions, online events, and more.

Industry News

Stay up-to-date with the latest inspection and asset integrity management news.

Blog

Read short articles and insights authored by industry experts.

Acronyms

Commonly used asset integrity management and inspection acronyms.

Asset Intelligence Reports

Download brief primers on various asset integrity management topics.

Videos

Watch educational and informative videos directly related to your profession.

Expert Interviews

Inspectioneering's archive of interviews with industry subject matter experts.