Sinopec first overseas oil refinery contract

Sinochem New Network News Sinopec Group on the 15th news, Sinopec Group and Saudi Aramco signed a joint venture agreement in Saudi Arabia, plans to jointly establish Yanbu Amis Sinopec Refinery Co., Ltd. at a ratio of 37.5:62.5, and to build a new refining capacity in the western city of Saudi Arabia. 400,000 barrels per day of refinery.

It is reported that the refinery design standards and product quality standards have reached the world's most advanced level and are expected to be put into operation in the second half of 2014. At present, the project construction has been completed as planned by 10%. After production, Nissan will produce 90,000 barrels of gasoline and 263,000 barrels of ultra-low* diesel and other products to produce high-quality transportation fuel that meets the most stringent quality targets for Saudi domestic and international markets.

The cooperation between Sinopec and Saudi Aramco also includes the Fujian United Petrochemical Company and Sinopec Senmei (Fujian) Petroleum Company established in Fujian together with Exxon Mobil, and the Saudi Arabian Gas Company established in Saudi Arabia. Sinopec is Saudi Aramco’s largest crude oil purchaser.

The infrastructure of Yanbu Industrial Zone where Yanbu Company is located is perfect. The political environment of Saudi Arabia is relatively stable and its economic foundation is good. The implementation of the project is conducive to enhancing Sinopec's refining technology and management and operation level. It is of great significance to promote the development of Sinopec's overseas industrial chain, enhance its overseas influence, and increase the supply of domestic refined oil resources. At the same time, the implementation of the project will provide a wide range of training and employment opportunities for local residents and businesses. It is expected that it will directly create 1200 jobs and indirectly create 5,000 job opportunities.

Saudi Aramco is Saudi Arabia's state-owned integrated oil company, which is a world leader in exploration, production, refining, petrochemicals, manufacturing, distribution, shipping and trading. Its crude oil reserves, production, exports, and natural gas liquids (NGL) exports rank first in the world, and its natural gas reserves rank fourth in the world. It has the world's largest onshore and offshore oil fields, and has the world's largest crude oil transportation fleet.