Saudi Arabia plans four new refineries
Hold onto your hats and buckle your money belts chemical and petroleum instrument people. Here comes $40 billion worth of refining work.
Saudi Aramco, the Saudi state oil giant, and ConocoPhillips said they would go ahead and build an enormous refinery in Saudi Arabia, the second giant refinery announcement in two days in May.
On the previous day, Aramco and France's Total SA announced a comparably sized 400,000-barrel-a-day facility at Jubail on the Persian Gulf.
The Conoco-Aramco refinery will be on the other side of the Arabian Peninsula on the Red Sea. Although no figures came out for this latest refinery, Total's chief executive said the Jubail refinery would cost in excess of $10 billion.
Scheduled start up of the Conoco refinery is for sometime in 2013.
Saudi Arabia is considering building four new giant refineries in order to process more of its crude at home and export more upgraded product. Talks about the Conoco-Aramco refinery have dragged out as costs have escalated.