Saudi Arabia: Business Deal Saudi Aramco to Acquire 50 % of Shell’s Share in Sasref Refining JV
The acquisition of the Sasref joint venture which is located in the Jubail Industrial City, Kingdom of Saudi Arabia is expected to be worth 631 million dollars. The sale is a part of Shell’s ongoing effort to focus on its refining portfolio.
Dhahran/Saudi Arabia – The Saudi Arabian Oil Company (Saudi Aramco) is set to acquire Shell Saudi Arabia Refining’s (Shell) 50 % share of the Sasref joint venture in Jubail Industrial City, in the Kingdom of Saudi Arabia, for 631 million dollars.
Abdulaziz Al-Judaimi, Saudi Aramco’s Senior Vice President of Downstream said: “The partnership with Shell has led to a strong record of performance and delivery of refined products. Saudi Aramco will take full ownership and integrate the refinery into its growing Downstream portfolio. Sasref will continue to be a critical facility in our refining and chemicals business and we look forward to further optimising its performance and long term viability.”
John Abbott, Shell Downstream Director, said: “Sasref has been a long and successful partnership between Shell and Saudi Aramco. The refinery has operated with good reliability, and has an impressive safety record. We’re proud of what we have achieved together over the past four decades and will continue to explore new business opportunities.”
The acquisition supports Saudi Aramco’s plan to increase the complexity and capacity of its refineries, as part of its long-term Downstream growth strategy. For Shell, the sale is part of an ongoing effort to focus on its refining portfolio, integrating with Shell Trading hubs and Chemicals. The sale is expected to be completed later this year, subject to regulatory approval.
The refinery has a capacity of 305,000 barrels per day. The main products are liquefied petroleum gas, naphtha, kerosene, diesel, fuel oil and sulphur.