- Aramco, Sinopec, and Yasref signed a venture framework agreement to develop a fully integrated petrochemical complex in Yanbu, Saudi Arabia.
- The expansion supports Aramco’s goal to convert 4 million barrels of crude oil daily into petrochemicals by 2030.
Aramco, Sinopec, and Yasref have taken a significant step toward expanding Saudi Arabia’s petrochemical capacity by signing a venture framework agreement to develop a fully integrated complex on the Red Sea coast in Yanbu.
The announcement was made during Yasref’s 10th anniversary. It marks a key milestone in Aramco’s strategy to transform from an oil-focused entity into a leading energy and chemicals powerhouse.
The agreement will push forward engineering studies for a mixed-feed steam cracker with an annual capacity of 1.8 million tonnes and an aromatics complex producing 1.5 million tonnes per year. These new facilities will anchor a broader downstream expansion to produce high-value petrochemical products.
Aramco CEO Amin Nasser described the move as deepening strategic ties with Sinopec. “We aim to make Yasref a global refining and petrochemicals leader while strengthening Saudi Arabia’s role in the international energy and chemicals market,” he said.
Mohammed Al-Qahtani, Aramco’s downstream president, added that the expansion aligns with the company’s plan to convert up to 4 million barrels per day of crude oil into petrochemicals by 2030. “Together with Sinopec, we’re advancing cutting-edge capabilities that will deliver high-value products, create jobs, and drive innovation,” he said.
Sinopec President Zhao Dong called Yasref a “flagship joint venture”, symbolising strong China-Saudi energy cooperation. “This expansion ushers in a new era of deeper collaboration between our two countries,” he said.
Yasref, a joint venture between Aramco (62.5%) and Sinopec (37.5%), plays a central role in Saudi Arabia’s Vision 2030 plan to diversify its economy. The expansion not only boosts Saudi petrochemical ambitions but also responds to shifting global energy demand. According to the International Energy Agency, petrochemicals are expected to account for over one-third of oil demand growth by 2030.