Riyadh – Mubasher: Saudi Aramco and giant petrochemical producer SABIC are studying a plan to build a joint refinery that would produce chemical products directly from crude oil, Bloomberg cited two people with knowledge of the talks as saying Bloomberg reported Wednesday.
The world’s largest crude exporter known as Saudi Aramco and SABIC, the second biggest petrochemical maker in the world, are planning to build the refinery in Yanbu, said the people, who asked not to be identified because the talks are confidential. Saudi Aramco declined to comment while SABIC didn’t respond to a request for comment.
“This move is long overdue given that both companies are operating and competing in the same markets,” said Mohamed Ramady, a London-based energy analyst, said by phone. “SABIC and Aramco cooperation will ensure that both companies will avoid duplication of projects in this period of Saudi economic rationalization and cost effectiveness.”
