Riyadh – Mubasher: Saudi Arabian Oil Company, globally known as Saudi Aramco, has moved forward with its chemicals growth strategy with the inauguration of S-Oil’s new residue upgrading complex and olefin downstream complex.    

With the state-of-the-art refinery technologies, the new complexes will increase S-Oil’s petrochemical portion to 13% from 8% as well as manufacturing high-value products such as propylene and gasoline, the state-run oil giant said in a statement on Wednesday.

“These two new facilities will supply high-value products to major Korean industries, whose global brands are part of our everyday lives and rank among the world’s very best in technology, innovation, creativity, and quality,” Saudi Aramco’s president and CEO Amin H. Nasser said.

In addition, a memorandum of understanding (MoU) was signed between Saudi Aramco and S-Oil to establish a $6 billion steam cracker and olefin downstream project scheduled to be completed by 2024.  

The new steam cracker will manufacture ethylene and other basic chemicals out of naphtha and refinery off-gas.     

Aramco Overseas Company is a major shareholder in S-Oil which is the third largest refinery in South Korea.

It is noteworthy that Saudi Aramco and its affiliates inked twelve agreements with leading companies in South Korea in a bid to foster cooperation with the East Asian nation.