Aramco, SABIC to team up on more petchem projects: Nasser

State-run Saudi Aramco will undertake more petrochemical projects after partnering with Saudi Basic Industries Corp. (SABIC) to build a $20 billion crude oil to chemicals complex, Aramco’s chief executive Amin Nasser told Reuters on Monday.

“It’s a starting point, there will be others in the future as we develop our technologies to shift or turn more barrels of crude into chemicals,” Nasser said.

Saudi Aramco is also looking at chemicals industry as a very attractive market for diversification.

The giant oil producer will soon start up using technologies that will potentially turn 70 or 80 percent of the crude oil intake into chemicals.

Meanwhile, Nasser ruled out the need to expand into petrochemicals at Saudi Aramco beyond the current level, as the company has ample spare capacity that is sufficient for this and other projects.

Plans to expand production at a few fields, such as Marjan, Zuluf, Berri, are aimed to maintain production capacity.

Nasser added that the company is in talks with global gas producers for investments overseas, without giving more details.