Companies discuss new manufacturing hub to be located in King Salman Energy Park.

Aramco Looks to Strengthen Relationship with Sinopec, Collaborate on Projects in Saudi Arabia

Aramco this week signed a Memorandum of Understanding (MoU) with China Petroleum & Chemical Corporation (Sinopec) covering multiple areas of potential collaboration between the parties in Saudi Arabia.

The MoU outlines pathways for strategic cooperation between Aramco and Sinopec and supports the long-term relationship between the two companies and their existing joint ventures in China and in the Kingdom.

Mohammed Y. Al Qahtani, Aramco senior vice president of Downstream, said, “We are delighted to be able to extend our relationship with Sinopec and leverage our mutual strength and reach while creating a path to bring our long-standing cooperation in China to our facilities in Saudi Arabia.

“This latest collaboration will help to further advance our strategic relationship with Sinopec into key areas of mutual benefit within the Kingdom.”

— Mohammed Y. Al Qahtani

Yu Baocai, president of Sinopec Corp., said: “Aramco is a very important partner of Sinopec. The two companies have yielded fruitful collaborations and developed deep friendship over the years. The signing of the MOU introduces a new chapter of our partnership in the Kingdom. The two companies will join hands in renewing the vitality and scoring new progress of the Belt and Road Initiative and Vision 2030.”

Areas of Cooperation

The wide-ranging areas of potential cooperation include; assessing refining and petrochemical integration opportunities; engineering, procurement and construction; oilfield services, upstream and downstream technologies as well as collaboration across carbon capture and hydrogen processes.

The companies will also discuss the opportunities for the establishment of a local manufacturing hub in King Salman Energy Park.

This latest collaboration builds on existing joint ventures between the two companies, including Fujian Refining and Petrochemical Company (FREP) and Sinopec Senmei (Fujian) Petroleum Company (SSPC) in China, and Yanbu Aramco Sinopec Refining Company (YASREF) in Saudi Arabia.

— The Arabian Sun: August 04, 2022