Page 166 - CW E-Magazine (22-4-2025)

News from Abroad

EXPANSION

Sinopec and Aramco ink deal to expand petrochemicals

complex in Saudi Arabia

Saudi Arabian Oil Company
(Aramco) has signed a deal with China’s
Sinopec to expand a petrochemicals
complex operated by their Yasref (or
Yanbu Aramco Sinopec Refi ning Com-
pany) joint venture on the kingdom’s
western coast.

The project will leverage existing
facilities to construct new units, in-
cluding a large-scale mixed feed steam
cracker with 1.8-mtpa ethylene capacity,
a 1.5-mtpa aromatics plant with
associated downstream polyolefi n units.

The announcement coincided with
the tenth anniversary of Yasref, which Mr. Zhao Dong, said in an Aramco duction was used in its downstream
is 62.5% owned by Aramco and 37.5% statement. operations in 2024, up from 47% the
by Sinopec. The Yanbu refi nery is previous year.
located in Yanbu Industrial City and Aramco and Sinopec have partnered
spans 5.2 million square metres. in several ventures as Saudi Arabia Other ventures with Sinopec in-
It already processes 400,000 barrels looks to expand its refi ning business, clude a refi nery and petrochemical
per day of Arabian heavy crude oil to which can help to offset drops in crude complex in southeast China’s Fujian
produce transportation fuels and other oil prices. province that Sinopec in November
refi ned products. said it had started constructing with
Aramco has a long-term liquids- Aramco. Aramco also holds a stake
“The Yasref expansion project re- to-chemicals strategy to process up to in the Fujian Refi ning & Petrochemical
presents a signifi cant milestone in our 4-million barrels per day of its crude Company, which is half-owned by a
bilateral partnership, ushering in a new into petrochemicals by 2030. In its Sinopec joint venture, and Aramco
phase of deeper and more far-reaching latest annual report published, it said chemicals subsidiary SABIC has an
collaboration,” Sinopec’s President, 53% of its upstream crude oil pro- operational joint venture with Sinopec.

OQ Chemicals acquired by UK-based private equity fi rms

UK-based investment fi rms, Strate- deal with lenders. OQ had acquired are vital to the production of paints,
gic Value Partners and Blantyre Capital the chemicals company from PE fi rm, coatings, plastics, lubricants, pharma-
have acquired Germany-based oxo- Advent International, in 2013. ceuticals, and other essential sectors.
alcohols maker, OQ Chemicals. As part the company’s primary production sites
of the acquisition, OQ Chemicals will Oxea is a manufacturer of oxo inter- are located in Germany and Texas (US).
reinstate its name to its former name, mediates and oxo performance chemi-
Oxea, cals, supplying essential ingredients to In May 2023, OQ Chemicals had
speciality chemicals and additive manu- announced a two-year programme of
Omani state-owned energy fi rm, facturers across key US and European cost-cutting and organisational realign-
OQ, which owned the company, had markets. The company produces alco- ment because of persistently weak
last year kicked off the sales process hols, polyols, plasticisers, carboxylic demand, oversupply and high energy
after reaching a short-term fi nancing acids, speciality esters, and amines that costs in Europe.

166 Chemical Weekly April 22, 2025

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