ExxonMobil, Aramco, and Samref have signed a Venture Framework Agreement (VFA) to assess a major upgrade of the Samref refinery in Yanbu and explore its expansion into an integrated petrochemical complex.
The companies will consider capital investments to modernize and diversify production, including high-quality distillates that support lower emissions and high-performance chemicals. They will also evaluate opportunities to enhance the refinery’s energy efficiency and reduce operational emissions through an integrated reduction strategy.
Mohammed Y. Al Qahtani, Aramco Downstream President, said: “This next phase of Samref marks an important milestone in our long-standing strategic collaboration with ExxonMobil. Designed to increase the conversion of crude oil and petroleum liquids into high-value chemicals, this project reinforces our commitment to expanding Downstream value creation and advancing our liquids-to-chemicals strategy. It will also position Samref as a key driver in the Kingdom’s growing petrochemical sector.”
Jack Williams, Senior Vice President of Exxon Mobil Corporation, added: “We value our partnership with Aramco and our long history in Saudi Arabia. We look forward to assessing this project, which supports our strategy to focus on investments that enable growth in high-value products that meet society’s evolving energy needs and contribute to a lower-emission future.”
The companies will now begin a preliminary front-end engineering and design phase for the proposed development, aiming to maximize operational strengths, enhance Samref’s competitiveness, and meet rising demand for high-quality petrochemical products in the Kingdom. Progress will depend on market conditions, regulatory approvals, and final investment decisions by both Aramco and ExxonMobil.
Samref is a 50/50 joint venture between Aramco and Mobil Yanbu Refining Company Inc., a wholly owned subsidiary of Exxon Mobil Corporation. The refinery processes more than 400,000 barrels of crude oil per day, producing a wide range of energy products including propane, automotive diesel oil, marine heavy fuel oil, and sulphur.
Source: Samref