Saudi Aramco has been showing keen interest in purchasing stake in a proposed $40-billion refinery and petrochemical project at Ratnagiri, India. Aramco is also seeking to supply Saudi crude oil to the refinery and marketing rights for the entire fuel and petrochemicals output from the complex.
Indian Oil, Bharat Petroleum, and Hindustan Petroleum signed an agreement in June last year to build the complex, which will include three crude oil processing units with a combined capacity of 60 million metric tons/year. Ratnagiri, on the west coast of India, is well placed to receive crude oil from the Middle East. The petrochemical part of the project will include a naphtha cracker, as well as aromatics and polymer plants. Completion is expected in 2022.
Aramco is seeking to expand its downstream operations worldwide. The president of Aramco said that India is an investment priority for the company. Aramco would like to invest across India’s downstream value chain and form partnerships with leading Indian energy companies, Nasser said. “We intend to strengthen partnerships with Indian energy firms—beyond the supply of crude and LPG—and also invest in refining, distribution, retail, and petrochemicals that strengthen India’s energy sector, and help to enhance resilience against volatile oil markets,” he said.
