The Strategist

Saudi Aramco to invest $7B in petrochemical production in South Korea

11/18/2022 - 02:28

According to a news statement, Saudi Aramco, the Saudi Arabian government-owned oil firm, would invest $7 billion in petrochemical manufacturing at a refinery in Ulsan, South Korea.

According to a press release from the Saudi corporation, "The Shaheen project is worth 26 billion Saudi rials, or seven billion dollars, and is Aramco's greatest investment in South Korea.

This investment will be part of $30 billion that the kingdom plans to invest in projects in South Korea, according to Saudi Arabia's investment minister, Khalid A. Al-Falih, who made the announcement during Crown Prince Mohammed bin Salman's visit to Seoul.

"The demand for these goods is anticipated to rise in part because of growing consumption in developing Asian nations, where the petrochemical industry is expanding quickly. The new Shaheen project of Saudi Aramco subsidiary S-Oil in South Korea has a good chance to fulfill the rising demand for petrochemical goods," Aramco's CEO Amin Nasser stated in the press release.

Up to 3.2 million tons of petrochemicals can be made at the new factory per year. It is anticipated to debut in 2026.