23/05/2010
Aramco restructuring with 113 billion riyals
Oil remained above 70 dollars relieving the OPEC members
Oil prices at the opening yesterday
Planners at Saudi Aramco, one of the largest oil companies in the world preoccupied in the restructuring of some projects in the manufacturing industries that the company intends to implement , includes the establishment of refineries of petroleum laboratories and petrochemical factories, in which the pipelines laying estimated with 113 billion riyals in order to benefit from common services in the infrastructure established by the country which has made payments up to 1.5 trillion riyals in 2013.
Some information about the company officials results that the transfer of complex petrochemicals, which the company intends to implement with Dow Chemical to Jubail Industrial instead of Ras Tanura, aims to take advantage of the infrastructure implemented by the Royal Commission for Jubail and Yanbu, such as roads, electricity and water, will reduce project costs by 40 raise% along with the project profitability and enhancing the interest of the rest projects of foreign investors, As for Jubail Industrial project which postponed the draft of Ras Tanura refinery expansion.
The company also will take actions on restructuring Jizan refinery project planned by the participation of the private sector with a coast of 26.5 billion riyals.
The economic analysts attributed this approach to try to take advantage of low prices of materials and some services in the global financial crisis for the benefit of economies of giant Aramco projects, and lowering capital costs for many manufacturing projects became a catalyst for foreign companies to enter into partnerships with Saudi Aramco.
In this regard, oil remained above 70 dollars over the past two days relieving the OPEC members to stabilize the oil in the rates of prices acceptable to them between 70-80 dollars per barrel, after prices fell in the middle of the week down to the level of 66 dollars per barrel affected by the decline of global markets.
