Saudi’s SABIC, Aramco plan to start a project to convert crude into petrochemicals
The Saudi Minister of Energy, HRH Prince Abdulaziz bin Salman, announced (Wednesday) the intention of the “SABIC” company, in cooperation with “Saudi Aramco”, to start the first program in the country to convert crude oil into petrochemicals in the city of Ras Al-Khair (east of the Kingdom), with a capacity of 400,000 barrels per day.
During the inauguration ceremony of the SABIC Jubail building, HRH Prince Abdulaziz bin Salman confirmed that the petrochemical sector is the fastest-growing sector in demand for oil globally. This acceleration will continue to grow in the coming years, by 60 percent, until 2040.
He said that the energy system is working to achieve the optimal use of hydrocarbon resources, indicating that Saudi Arabia’s intention to increase the maximum sustainable production capacity of crude oil to 13 million barrels per day “will contribute to providing additional feedstock that supports the growth of the petrochemical sector.
Regarding the oil demand sustainability program that was announced two years ago, the Minister of Energy explained that the program is working today through several partnerships to implement its goals, in the localization of supply chains. Foremost among them is the partnership with major projects such as “NEOM”, “Roshan” and “Amaala” to use polymer-based materials to enhance the environmental and economic benefits for them.
The program also aims to find solutions to the construction challenges faced by the Diriyah Gate Development Authority. These challenges include reducing sand dust, soil reform, and the construction of 55 buildings.
Prince Abdulaziz bin Salman referred to his endeavor to expand and raise the demand for petrochemical materials for the global market. This is through his work with several countries such as India, China, the UK, and others.
He noted that the renaissance and expansion of the energy system in Saudi Arabia today will contribute to increasing economic growth and diversification, strengthening the balance of payments, achieving the goals of Emiratisation, and creating jobs, to achieve the ambitious goals of “Vision 2030”.
