Qatar Today - - BUSINESS -

Saudi Aramco is pur­chas­ing stakes in re­finer­ies in sev­eral Asian coun­tries, from In­done­sia to Viet­nam, with con­tracts guar­an­tee­ing most of the oil will come from the King­dom. Aramco has in­vested in three pro­cess­ing fa­cil­i­ties in Asia.

As Iran pre­pares to boost its own ex­ports, the Saudis are on the cusp of a dra­matic in­crease in their com­mit­ment to Asia, eye­ing bil­lions of dol­lars of projects in coun­tries from In­done­sia to Viet­nam.

The Saudis pur­sued a sim­i­lar path in the US three decades ago to lock in sales as crude prices tum­bled, buy­ing into three oil-pro­cess­ing fa­cil­i­ties in Texas and Louisiana since 1988. The strat­egy worked: Mo­tiva En­ter­prises LLC, the US re­finer half-owned by Aramco, im­ported 65 mil­lion bar­rels of Saudi oil in the first eight months of 2015 – more than triple what ExxonMo­bil Corp. got from the King­dom in that time, US govern­ment data show.

In 2004, Aramco bought 15% of a Ja­panese re­fin­ery with a ca­pac­ity of 395,000 bar­rels a day, and in 2007 it paid $1.3 bil­lion for a quar­ter of a re­fin­ery in Quanzhou, China, with a ca­pac­ity of 240,000 bar­rels. Aramco orig­i­nally in­vested in the Korean fa­cil­ity (with a ca­pac­ity of 670,000 bar­rels daily) in 1991, and last year paid an­other $2 bil­lion to in­crease its stake from 35%. (

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