Aramco, Total and Sibur abandon petrochemical project
Saudi Aramco and France's Total and Russia's Sibur have decided to freeze a project to create a joint petrochemical plant in Saudi Arabia. This was announced to reporters by the head of the Russian company Dmitry Konov.
“We, together with Aramco and Total, have stopped studying the project at the moment, because we do not see the economic potential in this project in the current market conditions”, – he said during a teleconference on the results of financial results under IFRS for the first half of the year.
Recall that in the spring of 2018, the state oil company Saudi Aramco and the French Total signed a memorandum of understanding for the construction of a large petrochemical complex in Saudi Arabia. Later, Sibur joined them.
What project did Aramco, Total and Sibur want to implement
The complex was planned to be built in the city of Al-Jubail in Saudi Arabia. If implemented, the project will be integrated with the SATORP refinery, a joint venture between Saudi Aramco and Total.
The Saudi company has a 62.5% stake and the French 37.5%. SATORP currently has a daily production capacity of 440,000 barrels. It stood at 400,000 barrels when it opened in 2014.
The new project plans to use a steam cracking unit with a capacity of 1.5 million tonnes of chemicals per year. In total, the parties are investing $ 9 billion in the project.
In its message, the French company notes that as a result of such cooperation between the parties, 8,000 jobs will be created. All in all, the complex should produce 2.7 million metric tons of high quality chemical products. : ///
Record Aramco, Total and Sibur abandoned the petrochemical project first appeared TEKNOBLOG .
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