In-Kingdom downstream

Saudi Arabia’s endowment of oil and gas, our expanding network of refining and chemicals facilities integrated with industrial parks, and geographic proximity to major markets in Europe and Asia all combine to create favorable conditions for investment, growth, and even greater demand.

In 2016, we safely and reliably supplied the country’s transportation sector with the refined products and fuels needed to keep the Kingdom moving, provided fuel and feedstock to the Kingdom’s power sector, made significant progress on our integrated refining and chemicals projects, and advanced the development of a base oils business. We also continued to explore enhanced integration opportunities within our refining network while focusing on our performance to boost operating efficiency.

Khalid Al-Faifi grew up in the mountains of Jazan and now works as a mechanical engineer at our Jazan Refinery, under construction in the Kingdom's southwest.

Jazan Refinery

Construction of our 400,000 bpd Jazan Refinery reached 55% completion. The refinery and terminal facilities are the industrial heart of the government’s greater Jazan Economic City project, and part of a broad plan to drive sustainable economic development in the region and create employment opportunities for Saudis. Over a 15-year period, more than 70,000 new jobs could be created as the industrial city attracts a range of medium and light industries and associated service companies.

The overall project includes a marine terminal and an integrated gasification combined cycle power plant with the capacity to generate 3.7 gigawatts of electricity. Pre-commissioning activities for the Jazan complex are scheduled to begin in mid-2018, following completion of the marine terminal.  

PlasChem Park

The potential to grow our in-Kingdom employment is especially strong in the chemicals sector. Currently, the regional chemicals industry accounts for less than 1% of the global number of jobs in the sector and related industries.

Our expansion into the industry will raise that percentage. For example, adjacent to Sadara is the PlasChem Value Park. Expected to create 1,500 direct jobs and generate opportunities for thousands more indirect jobs, the park has attracted some of the world’s largest chemical and oil services investors.

Our support includes investing in an ethylene oxide and propylene oxide pipeline, and coordinating our efforts with the PlasChem Value Park team and the Royal Commission for Jubail and Yanbu' to attract investors and future customers.


Worldwide, the chemicals industry is a $4 trillion business, but the Gulf Cooperation Council’s (GCC) share of the global market for specialty chemicals, for example, is less than 2%. We therefore see significant opportunities to grow our downstream products portfolio, creating sustainable value for our partners, our customers, and the Kingdom.

Our Sadara joint venture, with the capacity to produce 3 million tons of performance plastics and high-value chemicals per year, was conceived to meet growing demand in the region and in Asia.

In 2016, Sadara marked a historic landmark with the startup of its mixed feed steam cracker, making it the first chemicals facility in the GCC countries to crack naphtha. The cracker, which breaks ethane and naphtha to form new molecules, including ethylene and propylene, enables the production of a diversified range of plastics and chemical products designed to meet the rigorous standards of sectors such as advanced packaging, construction, electronics, furniture, and the automobile industry.  


The Saudi Aramco Total Refining and Petrochemicals Company (SATORP) in Jubail, our joint venture with France’s Total, achieved one full year of operations with no lost-time injuries in 2015.

Roughly 80% of the refinery’s construction activities were executed by domestic subcontractors and the company has an overall Saudization rate of nearly 65%.

We recently began exploring the development of a world-class chemicals complex and associated value park to be integrated with SATORP and other existing sites in Jubail, further amplifying the economic benefits made possible by our downstream investments.  

Petro Rabigh PlusTech Park

The Petro Rabigh PlusTech Park, integrated with Petro Rabigh, is expected to generate more than 2,000 jobs and attract private sector investment of over $1 billion. Given the park's potential to attract new customers, we contributed 50% of the park's development costs and currently own a 50% stake in its infrastructure and assets.

Our main role is to promote and market PlusTech Park to attract downstream conversion industries that will consume our fuel and feedstocks. So far, 30 local and international plastics converters have signed agreements to operate in the park, 14 of which have commenced production. 


Our joint venture with China’s Sinopec, the Yanbu Aramco Sinopec Refining Company (YASREF), based in Yanbu’ on the Red Sea coast, started commercial operations in April 2015 and has generated nearly 1,200 direct jobs and 5,000 indirect jobs, with Saudization at the refinery reaching almost 74%.

YASREF also commenced exports of petroleum coke, or petcoke. Petcoke contains more energy with less ash and is a manifestation of our commitment to extract more value from crude oil while also meeting customers’ needs for reliable sources of fuel at competitive prices. 

Petro Rabigh

We also neared completion of the Petro Rabigh Phase II project to expand its cracking facility to crack an additional 30 million scfd of ethane and add an aromatics complex to produce new differentiated products.

The full operation of the cracking facility was achieved in 2016, and the remaining assets are scheduled to start up in mid-2017.