Riyadh – Mubasher: Saudi Aramco on Monday announced that it entered into a strategic partnership with Petronas Chemicals Group Berhad (PCG) to enhance the value and competitive positioning of its petrochemicals projects within the PETRONAS Pengerang Integrated Complex (PIC) in the southern Malaysian state of Johor.
The partnership marks a strategic, mutually beneficial relationship that will provide PIC with high-impact strengths and synergies from both Saudi Aramco and PCG, according to Aramco press release.
The agreement was signed by Saudi Aramco VP for international operations Said Al-Hadrami and PETRONAS VP, PCG managing director, and CEO Datuk Sazali Hamzah.
Under the terms of the venture’s share purchase agreement (SPA), Aramco and PCG will have equal ownership in PRPC Polymers Sdn Bhd (PRPC Polymers) within PIC.
"This venture leverages the historic partnership between Saudi Aramco and PETRONAS that was recently sealed during the visit of the Custodian of The Two Holy Mosques King Salman to Malaysia. Given PCG’s strength in the region’s petrochemicals sector, Saudi Aramco is proud to be entering into a deeper, mutually beneficial partnership in PIC.” Al-Hadrami said.
“As at August 2017, the PIC development is at about 75% overall project progress and the first petrochemical production is expected to commence after the completion of the refinery, which is scheduled in 2019. The petrochemicals projects within the PIC are currently progressing as planned.” Sazali said.
“By 2020, our petrochemicals projects under PIC will provide a strong foundation for us to move into derivatives and specialty chemicals. Beyond 2020, PCG will also focus on assessing opportunities in downstream derivatives and specialty chemicals at Pengerang, Kertih, Gebeng and East Malaysia.” Sazali added.
