Industry Sabic to sell steel subsidiary to PIF for $3.3bn Saudi Basic Industries Corporation (Sabic) has signed an agreement to sell its 100 percent stake in its steel manufacturing subsidiary to the Public Investment Fund (PIF) for SAR12.5 billion ($3.33 billion). The final sale price for Saudi Iron & Steel Company (Hadeed) will be determined only on the deal closure date, which is expected to […] September 3, 2023
Oil & Gas Aramco in talks with Sinopec to expand Yanbu refinery China’s Sinopec Corp, the world’s largest refiner by capacity, is exploring expanding the Yasref refinery in Yanbu, Saudi Arabia, following a preliminary agreement with Saudi Aramco last December, a company executive told Reuters. The Chinese state-run company’s overseas investments to date include the 400,000 barrels-per-day (bpd) Yasref refinery and the $10 billion Amur Gas Chemical […] September 1, 2023
Exclusive Energy Dow Chemical oils wheels for Saudi Arabia expansion The Dow Chemical Company has put Saudi Arabia at the heart of its Middle East expansion strategy, its new regional president told AGBI. The multinational corporation, which makes chemicals used in everything from oil and plastics to paints and building materials, also wants to capitalise on higher gas demand in the region. Moosa Al Moosa, […] August 27, 2023
Trade New Saudi bid to turn around sliding non-oil trade Saudi Arabian non-oil trade exports, which have declined in the wake of oil production cuts, could get a boost via a credit insurance deal agreed this week with an affiliate of petrochemicals company National Industrialization Co (Tasnee). The initiative, provided by the Saudi Export-Import Bank (Saudi EXIM Bank) through Evonik Tasnee Marketing, protects against the […] August 25, 2023
Oil & Gas Saudi gas boost to benefit petrochemicals and oil trade Saudi Arabia is likely to use an enormous shale gas play due to come into production next year to develop upstream petrochemicals and divert lucrative crude oil into exports, analysts say. Saudi Aramco, the state oil giant, says that the Jafurah field contains an estimated 200 trillion standard cubic feet (scf) of natural gas, which […] August 24, 2023
Industry Petrochemicals producer in $40m blow A major Saudi Arabian petrochemicals company has announced a temporary shutdown at some of its plants which is likely to cost it SAR150 million ($40 million). Yanbu National Petrochemical Company (Yansab) said a “technical upset” forced the shutdown on August 14 and is likely to continue into early September. “The work is in progress to […] August 22, 2023
Industry Sabic thermoplastic is key to electric car speed record As it flew around a track at the 2023 Hankook London E-Prix last month, electric race car Genbeta reached nearly 219 kilometres per hour, setting a new Guinness World Record for the fastest speed achieved by a vehicle indoors. Saudi Arabian petrochemicals giant Sabic developed thermoplastic materials to improve the performance of the vehicle – […] August 9, 2023
Manufacturing Sabic profit slumps 85% as recovery slows Saudi Basic Industries Corp (Sabic), one of the world’s largest petrochemical companies, has reported an 85 percent slump in net profit to SAR 1.8 billion ($480 million) during the first half of this year. Sabic’s shares have fallen 4.6 percent since January, and remained mostly flat after the results were released. Experts said a recovery […] August 3, 2023
Energy Aramco signs pact to set up $10bn refinery in Pakistan Saudi Aramco has signed a memorandum of understanding with four Pakistani state-owned enterprises to set up a $10 billion oil refinery, the largest in the country. The Pakistani government is in the advanced stages of negotiations with Aramco to execute the greenfield refinery project at the Gwadar Port. It aims to complete the initial paperwork […] July 30, 2023
Manufacturing Borouge profit down 50% as merger talks continue Petrochemicals company Borouge saw its net profit slide 53 percent year on year to $231 million in the second quarter, attributed to a decline in average sales prices for its products. The business said in a filing to Abu Dhabi Securities Exchange, where its shares are traded, that total revenues fell by 25 percent to […] July 28, 2023
Oil & Gas Aramco acquires 10% stake in China’s Rongsheng for $3.4bn Saudi Aramco has completed the acquisition of a 10 percent stake in China’s Rongsheng Petrochemical Company Limited (Rongsheng) for $3.4 billion through its subsidiary Aramco Overseas Company BV, based in the Netherlands. The acquisition follows the signing of definitive strategic agreements announced on March 27, 2023. The deal represents the continued growth of Aramco’s downstream […] July 23, 2023
Banking & Finance Adnoc raises bid for Covestro to $12.4bn Abu Dhabi National Oil Company (Adnoc) has increased its takeover bid for German chemical producer Covestro AG to €11 billion ($12.4 billion), Bloomberg reported, citing informed sources. The Abu Dhabi energy firm’s latest proposal values Covestro at €57 per share, up from its first informal bid of €55 apiece. Reuters last month reported that the […] July 19, 2023
Manufacturing Adnoc confirms talks on potential chemicals giant State-owned Abu Dhabi National Oil Company (Adnoc) has confirmed formal negotiations with Austria’s OMV AG (OMV) on the potential creation of a new combined petrochemicals holding entity. The new entity will be created through the proposed merger of the two companies’ existing shareholdings in Borouge plc and Borealis AG. Borouge is listed on the Abu […] July 16, 2023
Energy Work set to start on $11bn new Saudi petrochem project Saudi Arabian Oil Company (Aramco) and France’s TotalEnergies have awarded contracts for the $11 billion new petrochemicals facility in Jubail, the eastern coast of Saudi Arabia. The award of engineering, procurement and construction (EPC) contracts for main process units and associated utilities marks the start of construction work on the ‘Amiral’ complex, following the final […] June 25, 2023
Manufacturing Egyptian and Chinese firms sign $487m industrial deals Egypt’s Suez Canal Economic Zone (SCZone) said $487 million agreements and contracts have been signed between Chinese companies and Tianjin Economic-Technological Development Area (Teda) Egypt to establish new projects in the Al Ain Al Sokhna industrial zone. The SCZone delegation, led by chairman Waleid Gamal El Dein, met with officials of Tianjin city, comprising 270 representatives of […] May 28, 2023
Trade Canada and Saudi Arabia restore diplomatic relations Canada and Saudi Arabia have brought an end to a five-year dispute by resuming diplomatic relations. They will now appoint new ambassadors and renew diplomatic talks. A statement from both countries said that the decision was reached “on the basis of mutual respect and common interests”. Canadian Prime Minister Justin Trudeau and Saudi Crown Prince […] May 25, 2023
Energy Saudi mining firm exports blue ammonia to China Saudi Arabian Mining Company (Ma’aden) has exported its first shipments of low-carbon blue ammonia to China. The Saudi Exchange (Tadawul)-listed mining major signed an agreement to supply 25,000 tonnes of blue ammonia to China’s Shenghong Petrochemicals. Ma’aden is among the largest exporters of blue ammonia, having received certification for production in 2022. It will ship […] May 19, 2023
Energy Brazil’s Braskem confirms takeover bid from Adnoc Braskem confirmed on Tuesday that its controlling shareholder Novonor received a takeover offer from Abu Dhabi National Oil Company (Adnoc) and Apollo Global Management. The Brazilian petrochemicals producer had previously said that a non-binding bid of 37.5 billion reais ($7.5 billion) had been presented to Novonor but did not say where the offer had come […] May 11, 2023
Energy Adnoc ‘in talks’ to buy Brazilian petro firm Braskem Abu Dhabi National Oil Company (Adnoc) and US-based asset manager Apollo Global Management are said to have submitted a joint bid of 37.5 billion reais ($7.5 billion) to acquire São Paulo-headquartered Braskem. Discussions are in the early stages, Bloomberg reported, citing sources close to the potential deal. AGBI has contacted Adnoc for comment. The state-owned […] May 9, 2023
Manufacturing Sabic Q1 2023 profit drops 90% to $176m on lower sales Saudi Basic Industries Corporation (Sabic), one of the largest global petrochemical companies, saw its net profit for the first quarter of 2023 tumble 90 percent to SAR660 million ($175.98 million) from SAR6.47 billion a year earlier. Revenue fell 25 percent year-on-year to SAR39.69 billion in Q1 2023. Average sales prices slipped 22 percent, while sales […] May 5, 2023
Energy Duqm refinery likely to begin operations by end of 2023 Oman-based Duqm Refinery and Petrochemical Industries Company has started trial operations for the crude oil distillation unit at Duqm refinery. The move will pave the way for the launch of all Duqm refinery units, state-run Oman News Agency reported. The refinery has a capacity of 230,000 barrels per day, and its design is based on […] April 4, 2023
Energy Aramco buys 10% of Chinese petrochemical firm for $3.6bn Saudi Aramco has signed definitive agreements to acquire a 10 percent interest in Shenzhen-listed Rongsheng Petrochemical Co. Ltd. (Rongsheng) for $3.6 billion. Aramco Overseas Company (AOC), a wholly-owned subsidiary of Aramco, will acquire the interest in Rongsheng, the Saudi oil producer said in a statement. The deal seeks to expand the oil major’s downstream presence […] March 28, 2023
