Saudi Aramco has agreed to supply 130,000 barrels per day (b/d) of crude to private Chinese chemical group Hengli Petchem for 2019, Aramco’s second major marketing alliance with a private Chinese refiner, Reuters reported.
The deal was signed at the China International Import Expo in Shanghai and is worth an estimated $3.6 billion based on current market prices, a Hengli release stated.
Earlier this month, Aramco also signed a 170,000 b/d crude supply term agreement with private Chinese refiner Zhejiang Rongsheng Group. Under the agreement, Aramco also intends to take a stake in the Rongsheng refinery in east China.
Hengli Petrochemical is expected to test run its greenfield 400,000 b/d refinery in northeastern port city Dalian at the end of November.