Saudi major petrochemicals producer Saudi Basic Industries Corporation (Sabic) has agreed with the national oil giant Saudi Aramco to conduct a joint feasibility study on a proposed oil-to-chemicals project, Sabic announced according to Trade Arabia.

It would be the first time that the two companies teamed up on a major project in Saudi Arabia. However, Sabic did not say when the feasibility study might be completed, The National reported.

Sabic had previously revealed plans for the proposed project in May. It said the complex, at the Red Sea city of Yanbu, could cost as much as $30b, and it will be processing petrochemicals directly from crude oil instead of first refining the oil into products such as naphtha.

Saudi Arabia has been trying to carry out projects in the sector in efforts to ensure its market share amid the rise of Iran’s petroleum sector activities. The Saudi kingdom has also presented the vision 2020 plan, in which it disclosed strategies to decrease nation’s dependence on oil as a major source of revenues.