Saudi Aramco and SABIC remain committed to its proposed large petrochemical project in Yanbu.
The joint venture comprised of Saudi Aramco and SABIC is reportedly sticking to its plan to construct the first oil-to-chemicals project of its type in the Middle East. The partners have stressed that the project has not been shelved or placed on hold.
This complex is envisioned to be a $25 billion crude oil-to-chemicals (COTC) project with an output capacity of 9 million tons per year to be placed near the Yasref refinery for better ease in feedstock access. The pandemic change in demand could still affect this project, as Aramco and Sabic have reportedly been considering scaling the project down in size. However, the project is still expected to go ahead in some incarnation since the economic benefits for the area remain strong in concept.
Additionally, Saudi Aramco agreed to purchase a 70% stake in SABIC last year and is currently working to restructure the deal as SABIC has seen a 40% drop in value due to the coronavirus pandemic. SABIC CEO Yourself al-Benyan recently stated that he did not see anything that would keep this acquisition from being completed in the second quarter.
For questions or to give feedback:
+1 (713) 525-4605
For subscriptions or a demo:
+ 1 (713) 520-4271
+44 20 3793 9705
Download our brochure today!
Boxscore Construction Analysis:
Business Trends: Asia and Europe join the feedstock evolution with steam crackers
From the April 2018 issue of Hydrocarbon Processing