PetroRabigh II, the expansion of Saudi-listed Petro Rabigh’s petrochemical complex, will start operations in the first quarter of 2018, Reuters reported, citing Saudi energy minister Khalid Al-Falih.
The project’s phase II will produce five million tons of petrochemicals and 15 million tons of petroleum products annually. Products that will be produced include low-density polyethylene (LDPE), ethylene vinyl acetate (EVA), thermos plastic olefin (TPO), paraxylene, and benzene, among others.
Commenting on Saudi-led output cuts by major oil producers, Al-Falih said it is too early to discuss changes in OPEC’s production strategy, as the market will be evaluated next June.
The oil market will not rebalance by H1 2018, as oil stockpiles will continue to be depleted till H2 of the coming year, the minister added.