State oil giant Saudi Aramco and petrochemicals company Saudi Basic Industries Corp (SABIC) will build a new integrated industrial petrochemicals complex in the port city of Yanbu on the Red Sea coast, Reuters reported.
The complex is expected to have a processing capacity of 400,000 barrels per day (b/d) of oil from which it will produce around 9 million tons of chemicals and base oils annually. It is expected to be operational in 2025.
Saudi Aramco recently upgraded its Yanbu South Terminal (YST), adding 3 million b/d in export capacity from the facility.
Saudi Arabia is looking to increase its activity on its western coast, avoiding the east coast export route via the Strait of Hormuz due to threats from Iran to close the export channel, Oil Price reported.