24 August 2011 14:06 [Source: ICIS news]
LONDON (ICIS)--The Saudi Arabian and French partners behind a major new refinery project in ?xml:namespace>
State energy giant Saudi Aramco and France’s Total are the 62.5-37.5 joint venture partners behind Saudi Aramco Total Refining and Petrochemical Company (Satorp), the firm set up to develop and run the refinery at Al-Jubail on the kingdom’s southern Gulf coast.
Satorp plans to open discussions with potential investors on 10 September and hopes to have closed the deal by the end of September. A final value for the bond has not yet been decided, the partners said, although bankers in the kingdom expect it to be around $1bn.
In June 2010, Satorp signed $8.5bn of financing facilities with international banks and investors for the project. In total, the scheme will cost in excess of $10bn.
When the refinery comes on stream in 2013 it will process 400,000 bbl/day of heavy crude oil and produce 700,000 tonnes/year of paraxylene, along with other basic chemicals.
Total and Saudi Aramco are considering building a cracker unit next to the Satorp refinery.
Saudi Aramco is working with US firm Dow Chemical on a huge $20bn petrochemicals project at an adjacent site, and other related petrochemicals projects are also being mooted.
($1 = €0.69)
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