The BI-ME eNewsletter
LOGIN:
You are hereHome CategoriesNews
Saudi Ministry of Petroleum clarifies report on Jizan refinery
Source: BI-ME and agencies , Author: Moussa Ahmad
Posted: Tue August 21, 2007 12:00 am
www alibaba.com
Meet worldwide manufacturers, wholesalers
& importers
in Alibaba now!

SAUDI ARABIA. Saudi Arabia said it would invite bids for the building and operation of the planned Jizan oil refinery in the fourth quarter and denied reports that Aramco had been asked to help do the job.

The refinery is to be part of an "economic city" in the impoverished region of Jizan in the far south, on Saudi Arabia's Red Sea coast.

The plant will have the capacity to process 250,000 to 400,000 barrels per day and the kingdom wants the plant to be privately owned.

The Saudi Ministry of Petroleum and Mineral Resources clarified on Monday that the process of licensing the establishment and operation of Jizan Refinery to the private sector is an ongoing program announced in advance.

The ministry will offer the documents for the project to the eight Saudi companies qualified in partnership with international oil companies," Yahya bin Abdel Karim Al Zaid, an adviser to the Ministry of Petroleum and Mineral Resources, said.

"This is expected in the fourth quarter of this year," said Al Zaid, who is overseeing the Jizan project, adding that plans for the refinery were on schedule.

Al Zaid denied media reports that the ministry had assigned Saudi ARAMCO for project implementation.

The London-based Middle East Economic Digest (MEED) reported earlier in August that the oil ministry had asked Aramco to help implement the project after struggling to attract interest from international companies to run the Jizan refinery.

The Saudi Ministry of Petroleum and Mineral Resources has launched a special website  containing all relevant news in addition to the list of the eight eligible Saudi companies and international oil companies that have been notified of the project, the official noted.

Earlier this year, US oil firm Chevron ruled out taking a stake in the project, saying it did not make strategic sense for the company. But Malaysia's Petronas last week said it was keen to participate.

Top oil exporter Saudi Arabia in May prequalified eight local companies for bidding to work with international companies on the project.

The kingdom has announced plans that would boost refining capacity at home to 3.8 million barrels per day (bpd) from around 2.1m bpd last year. Jizan is one of four new refineries the kingdom plans to build.

It has already signed deals worth $12 billion for two new refineries - one with France's Total at Jubail and one with US ConocoPhillips in Yanbu. They will produce 800,000bpd of products by the end of the decade.
  

 

MIDDLE EAST BUSINESS COMMENT & ANALYSIS

date:Posted: February 9, 2010
UAE. Location and quality are driving apartment prices; while average prices decreased, select communities, including Palm Jumeirah and Downtown Burj Dubai, experienced slight increases according to Landmark Advisory's latest quarterly report.
date:Posted: February 8, 2010
INTERNATIONAL. Trying to achieve financial goals by pouring all of one's assets into emerging markets today, telecommunications tomorrow, and Japanese small-cap stocks next week is not a guarantee for achieving a sound financial plan.
date:Posted: February 8, 2010
INTERNATIONAL. The latest survey shows 46% of respondents expect their business travel to increase, marking a rise by 22 points compared with figures of the same period in 2009.
UAE. Location and quality are driving apartment prices; while average prices decreased, select communities, including Palm Jumeirah and Downtown Burj Dubai, experienced slight increases according to Landmark Advisory's latest quarterly report.