Home Industry Energy Aramco, Total to build $11bn Saudi petrochemical project The facility is set to start operations in 2027 by Bloomberg December 16, 2022 Saudi Aramco and TotalEnergies took a final investment decision on an $11bn petrochemical project in Saudi Arabia, betting that demand for materials to make plastics will continue to climb. The world’s largest oil-exporting nation is seeking alternative outlets for its vast supply of crude as countries gradually shift to cleaner energy. Aramco can add value to its sales by using the oil to make the building blocks for an enormous array of consumer items such as cars, computers and mobile phones. The petrochemical project will be located alongside the partners’ Satorp refining complex at Jubail. The so-called Amiral facility will include a 1.65 million-ton ethylene plant and is set to start operations in 2027, according to a joint statement. Aramco and Total will together invest about $4bn of the total and begin construction next year. Saudi Arabia is looking to transform about four million barrels of crude a day into chemicals. “We aim to expand the value chain by producing advanced chemicals more efficiently than ever before, accelerating industrial progress in the kingdom,” Aramco’s chief executive officer Amin Nasser said in the statement. Aramco also last week reached an initial agreement with China’s Sinopec to build a similar facility at a joint refinery on the western Red Sea coast. The companies run a 400,000-barrel-a-day refinery at Yanbu, similar in size as the joint-venture plant with Total, on the opposite coast. Tags Facility Plastics project Refining Saudi Aramco TotalEnergies 0 Comments You might also like Italy’s Saipem wins offshore contract worth $2bn in Saudi Arabia Saudi Aramco boosts stake in MidOcean, fund new stake in Peru LNG Italy’s Saipem secures $4bn contract from QatarEnergy Saudi Aramco allocates $100m to boost R&D at KAUST