Petro Rabigh set to acquire Rabigh II from Aramco, Sumitomo

Rabigh Refining & Petrochemical Co (Petro Rabigh), a joint venture between Saudi Arabian Oil Co. (Aramco) and Japan’s Sumitomo Chemical Chemical Co., decided on July 31 to acquire the under-construction  SAR 32 -billion Petro Rabigh II project from its parent companies, the company said in a statement to the Saudi bourse, Tadawul.

To complete the acquisition, which is likely to take place in the 4th quarter of this year,  the parent companies are required to provide and guarantee the necessary loans to complete the project, to obtain the government-mandated licenses and to implement Petro Rabigh’s technical observations.

Aramco and Sumitomo, each owns a 37.5 percent stake in Rabigh, notified Petro Rabigh in May that they would like to merge Rabigh II with Petro Rabigh, according to Argaam.

Rabigh petrochemical complex has an annual output capacity of 2.4 million tons of petrochemicals and a refinery with a daily capacity of 400,000 barrels of oil.