Saudi Aramco Closes Jeddah Refinery

Saudi Aramco Closes Jeddah Refinery
Haradh, SAUDI ARABIA: A general view shows a new plant inaugurated 22 March 2006 in Haradh, about 280 kms (170 miles) southwest of the eastern Saudi oil city of Dhahran, launching a project adding 300,000 barrels of oil to the kingdom’s daily production capacity. The facility which was opened today in a ceremony attended by Saudi Oil Minister Ali al-Nuaimi was completed in January, ahead of schedule, the company said. Approximately 160 kms (100 miles) of new pipeline and extensions will transport crude and gas products to processing facilities further north in the Eastern Province, a statement said. Saudi Arabia, the world’s top crude producer and exporter, currently pumps around 9.5 million bpd of oil and has a production capacity of around 11 million bpd. AFP PHOTO/STR (Photo credit should read -/AFP/Getty Images)

Saudi Aramco has closed its refinery in Jeddah, Reuters reports.

The refinery, which had been in operation since 1967, produced liquefied petroleum gas (LPG), gasoline, diesel, jet fuel, naphtha, and asphalt, according to Reuters. It had a capacity of 90,000 barrels per day (b/d).

The company plans to use the tanks at the complex to distribute oil products, Nasdaq reports.

“The decision to convert the complex to a hub for oil products distribution comes as the company is keen to boost the performance of its facilities,” the company said in a press statement, according to Nasdaq.

The refining operations will be shifted to other Saudi Aramco refineries. Its capacity equaled less than 3% of Saudi Arabia’s refining capacity, Nasdaq reports.

The company is currently building a 400,000 b/d refinery in Jizan Province. It also completed two 800,000 b/d refineries in 2014, Reuters reports.

Over the years, Jeddah has expanded, engulfing the refinery and leading to heightened environmental concerns, according to Nasdaq.

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