Saudi Aramco, SABIC opens bidding for chemical project
Aramco and Saudi Basic Industries Corp (SABIC) have opened bidding for engineering work on their joint crude oil to chemicals project, a key step to- wards developing the $20-billionplus complex.
The project, known as COTC, the first major scheme to bring the two giants together, is expected to process Arabian Light and extra light crude oil. Several plants are expected to be built including a 400,000-barrels-per-day integrated crude distillation and vacuum unit, a distillate hydrotreater, a vacuum gas oil hydrocracker, a residual fluid catalytic cracking unit, a mixed feed cracker, as well as polyethylene, polypropylene, butadiene and aromatics recovery units.
The closing date for bids for prefront end engineering and design work (pre-FEED) and FEED for the COTC was Sept. 25. The plant is expected to be commissioned by the end of 2024. Analysts said the project will help reduce natural gas usage in petrochemicals at a time when the kingdom is trying to use more gas to generate power, rather than burning crude oil, as it seeks to diversify its energy mix.