Saudi Arabian Oil Co., the world’s largest crude exporter, said the Yasref refinery will ship its first oil-product cargo in the fourth quarter of 2014.
The plant on the Red Sea will start operating in September of that year following completion in June, the company said today in a statement on its website. China Petroleum & Chemical Corp. or Sinopec, has a stake in the plant.
Saudi Aramco, as the company is known, is expanding refining capacity as it seeks to export more finished products that can fetch higher prices than crude. Yasref is one of three new plants Saudi Aramco is building at home while a fourth plant may be expanded.
The 400,000 barrel-a-day Yasref plant will cost $8.5 billion to $10 billion, Khalid al-Falih, head of Saudi Arabia’s state-owned oil producer said in January. The refinery, which will process Arab Heavy crude, will produce 263,000 barrels of diesel a day and 90,000 barrels of gasoline, according to the statement. It will also produce petroleum coke and benzene.