SABIC, Aramco plan JV to convert crude into petrochemicals: Minister

Minister of Energy Prince Abdulaziz bin Salman

Saudi Basic Industries Corp. (SABIC) and Saudi Aramco plan to launch a joint venture (JV) to convert crude into petrochemicals in Ras Al Khair, with a capacity of 400,000 barrels of crude per day, said Minister of Energy Prince Abdulaziz bin Salman.

The project will be completed in coming years, the prince said during an event to open a SABIC building in Al Jubail.

He added that oil receives strong demand from the petrochemical sector globally, and this demand growth will accelerate by 60% until 2040.

The integrated strategy of the Kingdom's petrochemical sector is in its final stages, as it includes all components of value chain, starting from basic to specialized petrochemicals, the minister said.

He indicated that the system aims to convert four million barrels of crude and liquids into petrochemicals via local and international projects.