Saudi Aramco signs downstream agreements with Chinese refiners
Saudi Aramco is leveraging its existing relationships with Chinese oil buyers by expanding into chemicals. The oil company also looks to invite Chinese investments to its projects in the kingdom.
DUBAI — State-run Saudi Aramco signed agreements on Wednesday with Chinese downstream companies, as the oil giant continues to look East to expand its refining and chemicals portfolio.
Aramco signed an agreement with Rongsheng Petrochemical Company to look at the potential expansion of the 305,000-bpd Saudi Aramco Jubail Refinery (SASREF) Company.
In April, the two companies planned to cooperate in the downstream industry, which refers to the refining and chemical sectors of the energy value chain.
As part of their partnership agreement in April, Rongsheng is considering a potential 50% stake in SASREF, as well as the development of a liquids-to-chemicals expansion project through the venture. Aramco also planned to acquire a 50% stake in Rongsheng-affiliated Ningbo Zhongjin Petrochemical. The Saudi company is also interested in the possible expansion at Ningbo Zhongjin Petrochemical.
