Saudi Minister of Energy Prince Abdulaziz bin Salman said on Wednesday that the petrochemical sector was rapidly growing in demand for oil globally, stressing that the acceleration in growth will continue until 2040.
In remarks during the inauguration of the Saudi Petrochemical Industries Company (SABIC) building in Jubail, the minister noted that the company was the fourth largest global producer of petrochemicals, and enjoyed all the necessary elements to further develop in the future.
He added that the Saudi energy system was working to achieve the optimal use of hydrocarbon resources, as it launched the liquid fuel displacement program, which aims to displace one million barrels per day of liquid fuels across utilities, industry and agriculture sectors by 2030.
The minister emphasized that the system intends to increase the Kingdom’s sustainable maximum production capacity of crude oil to 13 million barrels per day, which will contribute to providing additional feedstock that supports the growth of the petrochemical sector.
He added that the Kingdom’s energy system was working to develop gas fields to produce more than 630,000 barrels of natural gas liquids and condensates per day, and more than 380 million standard cubic feet of ethane per day, which will help provide opportunities for further expansion in the petrochemicals industry.
Prince Abdulaziz revealed that the integrated strategy for the petrochemical sector in the Kingdom was in its final stages, and would cover all components of the value chain from basic petrochemicals to specific products.
The system aims to convert 4 million barrels per day of crude oil and liquids into petrochemicals in local and international projects, he remarked.
The Saudi Energy Minister announced a plan by SABIC, in cooperation with Aramco, to launch the first Saudi project to convert crude oil to petrochemicals, known as Crude Oil To Chemicals, in Ras Al-Khair, with a capacity of 400,000 barrels per day, which is intended to be completed in the coming years.