Riyadh - Sharikat Mubasher: Aramco, one of the world’s leading integrated energy and chemicals companies, signed a venture framework agreement (VFA) with China Petroleum and Chemical Corporation (Sinopec) and Yanbu Aramco Sinopec Refining Company (Yasref) to pave the way for a major petrochemical expansion at Yasref, in Yanbu.
The agreement aims to advance engineering studies for the development of a fully-integrated petrochemical complex at Yasref, a joint venture owned by Aramco (62.5%) and Sinopec (37.5%), Aramco stated in a press release.
The project targets maximizing operational synergies and creating additional value through introducing a state-of-the-art petrochemical unit, a large-scale mixed feed steam cracker with a 1.8 million tons per year capacity, and a 1.5 million tons per year aromatics complex with associated downstream derivatives integrated into the existing Yasref complex.
Amin Nasser, President and CEO of Aramco, stated that the agreement deepens and elevates the company’s strategic partnership with Sinopec. “The planned expansion project solidifies our commitment to product innovation and diversification. As we look forward to strengthening our collaboration with Sinopec in making Yasref a leading refining and petrochemicals joint venture, we aim to contribute to growing Saudi Arabia’s position as a global leader in energy and chemicals,” he said.
Meanwhile, Mohammed Al Qahtani, Aramco Downstream President, affirmed that the planned Yasref expansion aligns with Aramco’s downstream strategy to unlock the full potential of its resources, including converting up to four million barrels per day of crude oil into petrochemicals by 2030.
He added: “In partnership with Sinopec, we aim to advance cutting-edge refining and petrochemical capabilities to deliver high-value products, create new opportunities, drive industrial innovation, and enable economic transformation.”
On the other side, Zhao Dong, President of Sinopec, stated that the Yasref expansion project is expected to unlock new dimensions of collaborative potential as we navigate the energy transition.
Yasref is one of several strategic partnerships between Aramco and Sinopec, which also include Sinopec Senmei (Fujian) Petroleum Company (SSPC); Sinopec SABIC Tianjin Petrochemical Co. (SSTPC); Fujian Refining & Petrochemical Company (FREP); and a new integrated refining and petrochemical complex being developed in Fujian Province, China.
