Saudi Arabian oil company Aramco announced that it is expanding its presence in Europe by acquiring stakes in Poland’s refining, wholesale, and jet fuel marketing segments.
The company stated that it signed an agreement with PKN Orlen to acquire a 30% equity stake of the Gdansk refinery which produces 201,000 barrels per day, a 100% stake in an associated wholesale business, in addition to 50% in a jet fuel marketing joint venture with bp.
It is worth noting that the acquisitions will be made from PKN Orlen, as one of Poland’s notable refiners and fuel retailers, following its proposed merger with Grupa Lotos. The transaction is set to be complete once regulatory approvals from the European Commission have been finalized.
Furthermore, Aramco has signed a memorandum of understanding (MoU) with PKN Orlen and SABIC, to explore joint opportunities in Poland as well as in Central and Eastern Europe.
Aramco has also signed an additional separate MoU with PKN Orlen to explore potential opportunities for research and development.
In this regard, Aramco Senior Vice-President of Downstream Mohammed Al Qahtani said, “These acquisitions will support the diversification of Aramco’s product portfolio across the hydrocarbon value chain — including a focus on liquids-to-chemicals pathways. Our expanding global network of refineries and chemical joint ventures allows us to reach new markets with our products, and strategically place crude oil volumes across different geographies.”
President of the PKN Orlen Management Board Daniel Obajtek said, “This is an historic day for the Polish energy industry. The completion of the merger is an opportunity to ensure high-quality crude oil supplies to Poland from Aramco. This is a key stage in building a strong multi-utility group that delivers diversified and reliable energy to Poland. Such international partnerships are essential for building the largest multi-utility group in this part of Europe.”