Aramco and Total Energies have announced the signing of an $11 billion contract to build a new petrochemical complex in Saudi Arabia. The joint statement was made on Saturday, highlighting the awarding of engineering, procurement, and construction contracts for the Amiral complex.
The construction work for the petrochemical expansion will begin after the final investment decision was made in December 2022. The Amiral complex will be owned, operated, and integrated with the Saudi Aramco Total Refining and Petrochemical Company (SATORP) refinery in Jubail on the eastern coast of Saudi Arabia.
This expansion is expected to attract over $4 billion in additional investments in various industrial sectors, including carbon fibers, lubricating oils, drilling fluids, detergents, food additives, auto parts, and tires. It is also projected to create 7,000 direct and indirect local jobs.
Amin bin Hassan Al-Nasser, the President and Chief Executive Officer of Saudi Aramco, expressed his enthusiasm for the partnership between Total and Aramco. He stated that the Amiral project will build on the success of the SATORP complex and contribute significantly to the refining, chemicals, and marketing system in Saudi Arabia and the world. Al-Nasser also emphasized the project’s alignment with Vision 2030, the country’s development plan.
The engineering, procurement, and construction contracts have been awarded to several companies, including Hyundai Engineering & Construction Co., Ltd. for the construction of a mixed feed cracker and utilities, Mir Technimont for the construction of two polyethylene units, and Sinopec Engineering (Group) Saudi Arabia Limited for storage tank works and integration with SATORP.
Other companies involved in the project include Gulf Consolidated Contractors Company for the construction of transport pipelines, Muhammad Ali Al-Suwailem Trading and Contracting Company for industrial support facilities, Mufreh Marzouq Al-Harbi and Partners Limited Company for site preparation, and Mubarak Mari Al-Salumi and Partners Contracting Company for temporary construction facilities.
The construction of the petrochemical complex is a significant step in strengthening the partnership between Aramco and Total. The project is expected to contribute to the growth and development of the industrial sector in Saudi Arabia, in line with the country’s Vision 2030 goals.
How will the Amiral complex be owned, operated, and integrated with the Saudi Aramco Total Refining and Petrochemical Company
Aramco and Total Energies have recently agreed to a substantial $11 billion contract to construct a petrochemical complex in Saudi Arabia. In a joint statement released on Saturday, the companies emphasized that engineering, procurement, and construction contracts for the Amiral complex have been granted.
Following the final investment decision in December 2022, construction for the petrochemical expansion will commence. The Amiral complex will be fully owned, operated, and integrated with the Saudi Aramco Total Refining and Petrochemical Company.
This is a significant partnership between Aramco and Total, highlighting the growing importance of Saudi Arabia’s petrochemical industry. The $11 billion contract promises both economic growth and technological advancements for the region.
This collaboration between Aramco and Total marks a significant step forward in boosting Saudi Arabia’s petrochemical sector. The $11 billion contract showcases a strong commitment towards investment and growth, which will undoubtedly have positive implications for the country’s economy.