Saudi Aramco plans to acquire a 10% equity interest in Chinese independent refiner Shenghong Petrochemical as it firms up crude oil sales outlets in the world’s largest importer. Aramco announced on 27 September that it has signed a cooperation framework agreement with Shenghong’s parent company Jiangsu Eastern Shenghong “to facilitate discussions relating to the possible acquisition.”
The planned purchase largely follows the template used earlier this year when Aramco purchased a 10% stake in a second Chinese independent refiner, Rongsheng. That deal, initially inked in March and finalized in July (MEES, 28 July)), carried an explicit arrangement for Aramco to supply 480,000 b/d of crude oil to Rongsheng’s 51% affiliate Zhejiang Petroleum and Chemical’s (ZPC) 800,000 b/d refinery. (CONTINUED - 566 WORDS)
