THE HAGUE, The Netherlands / DHAHRAN, Saudi Arabia, 22-Apr-2019 — /EuropaWire/ — Royal Dutch Shell plc has announced that its Shell Saudi Arabia Refining Limited’s 50% holdings of the SASREF refining joint venture in Jubail Industrial City, Kingdom of Saudi Arabia has been acquired by The Saudi Arabian Oil Company (Saudi Aramco) for $631 million (EUR 560 million).
The acquisition is expected to complete later in 2019 and is subject to regulatory approval. The main products of the refinery are liquefied petroleum gas, naphtha, kerosene, diesel, fuel oil and sulphur with capacity of 305,000 barrels per day.
By acquiring the SASREF refining joint venture in Jubail Industrial City, Saudi Aramco will increase the complexity and capacity of its refineries, which is part of the company’s long-term Downstream growth strategy.
The SASREF deal for Shell is part of its ongoing effort to focus its refining portfolio, integrating with Shell Trading hubs and Chemicals.
Commenting on the deal, Saudi Aramco‘s Senior Vice President of Downstream, Abdulaziz Al-Judaimi, said:
“The partnership with Shell has led to a strong record of performance and delivery of refined products. Saudi Aramco will take full ownership and integrate the refinery into its growing Downstream portfolio. SASREF will continue to be a critical facility in our refining and chemicals business and we look forward to further optimising its performance and long term viability.”
John Abbott, Shell Downstream Director:
“SASREF has been a long and successful partnership between Shell and Saudi Aramco. The refinery has operated with good reliability, and has an impressive safety record. We’re proud of what we have achieved together over the past four decades and will continue to explore new business opportunities.”
Saudi Aramco (The Saudi Arabian Oil Company) is an 80 year old global integrated energy and chemicals company responsible for the production of approximately one in every eight barrels of the world’s oil supply. You can find out more at saudiaramco.com. Media enquiries can be sent over to firstname.lastname@example.org.
Shell, headquartered in The Hague while incorporated in England and Wales and listed on the London, Amsterdam, and New York stock exchanges, is active in more than 70 countries and territories with businesses including oil and gas exploration and production; production and marketing of liquefied natural gas and gas to liquids; manufacturing, marketing and shipping of oil products and chemicals and renewable energy projects. More information can be accessed at shell.com. The company’s media relations can be reached at +44 20 7934 5550 while the IR is on + 31 70 377 4540.
SOURCE: Royal Dutch Shell plc