MOSCOW (MRC) -- The Competition Commission of India has approved Saudi Aramco's planned purchase of a 70% stake in SABIC from the Public Investment Fund of Saudi Arabia in a transaction valued at USD69.1-billion, as per Apic-online.
The acquisition is in line with Aramco's long-term strategy to drive growth through an enhanced downstream portfolio by boosting global participated refining capacity to 8-million to 10-million b/d by 2030 from 4.9-million b/d currently. Of that capacity, 2-million to 3-million b/d will be converted into petrochemical products, Aramco earlier explained.
Aramco said it has no plans to acquire the remaining 30% publicly traded shares in SABIC. An expected closing date was not given.
As MRC informed before, negotiations between Indonesian state energy firm PT Pertamina and Saudi Aramco over a joint venture to upgrade Pertamina’s Cilacap refinery have been extended further until the end of this month.
Ethylene and propylene are feedstocks for producing polyethylene (PE) and polyprolypele (PP).
According to MRC's ScanPlast report, Russia's estimated PE consumption totalled 1,436,390 tonnes in the first eight months of 2019, up by 9% year on year. Shipments of all PE grades increased. At the same time, the PP consumption in the Russian market was 909,260 tonnes in January-August 2019, up by 10% year on year. Shipments of PP block copolymer and homopolymer PP increased.
Saudi Aramco, officially the Saudi Arabian Oil Company, is a Saudi Arabian national oil and natural gas company based in Dhahran, Saudi Arabia. Saudi Aramco"s value has been estimated at up to USD10 trillion in the Financial Times, making it the world"s most valuable company. Saudi Aramco has both the largest proven crude oil reserves, at more than 260 billion barrels, and largest daily oil production.
Saudi Basic Industries Corporation (SABIC) ranks among the world's top petrochemical companies. The company is among the worldпїЅs market leaders in the production of polyethylene, polypropylene and other advanced thermoplastics, glycols, methanol and fertilizers.
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