Al – Riyadh Journal Saudi Aramco signs an agreement for the creation of the largest foreign joint venture in China

Saudi Aramco today signed an agreement with the Norinco Group and the Chinese company Bangin Sinsen for the development of the Huajin Integrated Refining and Petrochemical Project in Panjin City, Liaoning Province.

The agreement includes the creation of a new company called Aramco Huajin Petrochemicals, comprising a refinery with a production capacity of 300,000 barrels a day, an ethylene cracker of one year. capacity of 1.5 million tons per year and one parazylene unit with a capacity of 1.3 million tons per year. Saudi Aramco, which is expected to be operational in 2024, will supply up to 70% of its raw material needs.

Commenting on the signing of the agreement, Aramco President Amin Hassan Al Nasser said: "This agreement is timely and China is a leading economic engine and a major center of energy consumption. growth, one of the most important global markets for Saudi Aramco in the area of ​​oil supply, but also as a single site for investment in refineries and chemicals. largest foreign investments, it allows us to reach new horizons in the economic partnership with China and to significantly strengthen our commercial and industrial presence and to lead to Iss more opportunities for growth and diversification in the sector of refining and petrochemical production ".

"We are proud to make a positive contribution to Liaoning Province's development efforts by providing products that stimulate the growth of industry and local chemicals," he added.

"The agreement reflects a number of points of convergence between the Belt and Road initiative and the vision of the 2030 Kingdom, which aims to be the Kingdom's main investment force in the world. was honored to have signed this agreement in the presence of His Royal Highness Crown Prince Mohammed Bin Salman bin Abdulaziz, Deputy Prime Minister and Minister of Defense and Deputy Prime Minister of China. "

It should be noted that the three partners of this project are considering setting up a fuel retail system that will help to strengthen the integration of the project. By the end of 2019, a tripartite joint venture, Saudi Aramco, Huajin North and Liaoning Investment Transport Limited, is expected to be created to develop a network of significant sales outlets in target markets.