Deals
Saudi Looks to Petrochemicals for Its Next Big Projects
- Aramco bets on bullish forecasts for petrochemicals demand
- Chemicals, refining are part of Crown Prince’s economic plan
Photographer: Andrey Rudakov/Bloomberg
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As Saudi Arabia looks to its oil reserves to underwrite a record share sale, even the kingdom’s crown prince is backing a push into the industry’s less glamorous corners -- refining and petrochemicals -- to ensure crude keeps paying the bills.
State-run Saudi Aramco is working on more than $100 billion of refining and chemical projects, according to Bloomberg calculations, and a pledge to invest in a $9 billion complex with Total SA is just the latest step in this expansion. Such downstream investments “create huge opportunities for economic growth and jobs,” according to Crown Prince Mohammed bin Salman.