Saudi Aramco is advancing its global chemicals growth strategy with the inauguration of S-Oil’s new residue upgrading complex and olefin downstream complex. The new facilities feature the latest refinery technologies, which have raised S-Oil’s petrochemical portion from 8 to 13 % and includes high-value products such as propylne and gasoline. The inauguration also included the signing of a Memorandum of Understanding between the two companies to collaborate on a 6 billion US$ steam cracker & olefin downstream project which is expected to be completed by 2024. The new world class steam cracker will produce ethylene and other basic chemicals out of naphtha and refinery off-gas.
This new agreement supports Saudi Aramco’s plan to increase its global petrochemicals footprint over the next decade. It will further include the deployment of Saudi Aramco’s Thermal Crude-to-Chemicals Technology, shifting S-Oil’s focus from “oil to chemicals” to better position the company in the future energy market.