Saudi Aramco, Saudi Arabia's national oil and gas company, recently announced that it will acquire Shell's 50% interest in a Saudi refining joint venture. The sale is expected to be completed within the year, for an amount of $631 million.
As part of its strategy to broaden the scope of its downstream activities, Saudi Aramco has just announced that it will acquire Royal Dutch Shell’s 50% interest in the Saudi refining joint venture SASREF.
The $631 million transaction will be completed later this year.
“Take full ownership”
Based in Jubail, SASREF – for Saudi Aramco Shell Refinery Company – has a crude oil refining capacity of 305,000 barrels per day.
Abdulaziz Al-Judaimi, Aramco’s Senior Vice President of downstream operations, said in a statement: “Saudi Aramco will take full ownership of the refinery and integrate it into its growing downstream portfolio. SASREF will continue to be an essential facility in our refining and chemicals activities.
Become a global leader
In fact, with this expansion of its refining activities and petrochemical production, Aramco hopes to become a global leader in the sector and the largest integrated energy company in the world.
Shell, for its part, is continuing its process of “decarbonizing” its activities, having sold more than $30 billion in assets in recent years in sectors such as natural gas and petrochemicals.