17-12-2014

Saudi Aramco Mobil Refinery Limited launches clean fuels production project

Saudi Aramco Mobil Refinery Limited (SAMREF) celebrated its 30th anniversary this month by launching the Clean Fuels Production Project, a continuation of Saudi Aramco’s integrated strategy to develop the refining and chemicals sectors in Saudi Arabia.

The Clean Fuels Project, inaugurated in the presence of HE Musaeed Y. Al-Sulaim, governor of Yanbu’, and Khalid A. Al-Falih, president and CEO of Saudi Aramco, will help meet the growing demand for highly-developed clean fuel on a domestic, regional and global level. It will reduce sulfur levels in gasoline and diesel by more than 98 percent to 10 parts per million, making the refinery an industry leader in emissions reduction.

The project manifests a decades-long partnership that has produced a number of successful joint investments inside and outside the Kingdom between Saudi Aramco and ExxonMobil Corporation.

“We continue to apply advantaged technology that will deliver world-class products that contribute to the fuels value chain,” said Darren Woods, senior vice president of ExxonMobil Corporation. “The successful, recent startup of the clean project illustrates the refinery’s advancements and preparations to meet global energy demands.”

Mohammad Al-Naghash, president and CEO of SAMREF, said, “The company contributes to the global competitiveness of the Kingdom by providing world-class fuels but also by creating jobs and improving and protecting the environment.”

Saudi Aramco’s refining sector strategy
SAMREF is part of Saudi Aramco’s refining and chemicals strategy, which strives to create a profitable domestic sector and to “make the company the largest and most profitable refining company in the world,” said Khalid A. Al-Falih, president and CEO of Saudi Aramco, in his speech at the launching ceremony of the Clean Fuels Production Project.

Al-Falih spoke about five pillars that underpin this strategy.
“The first is to turn Saudi Aramco’s refineries into integrated industry parks where the refining process and the chemicals industry integrate and are given a major competitive edge,” he said. the second pillar is to provide these refineries with record-high refining capacity that enables them to leverage their operations and reach economies of scale.

The third pillar, he said, is to link these industrial parks with close-by downstream industries through the provision of market-ready products and feedstock for important conversion industries that will provide opportunities to maximize added-value to the economy.

The fourth pillar is to make the company’s investments in this sector a manifestation of Saudi Aramco’s commitment to give back to the community. This would be achieved by considering the needs of the surrounding community for opportunities to establish small- and medium-size enterprises that would become part of the supply chain and the various services required by the industrial parks, leading to direct and indirect job opportunities.

The fifth pillar, said Al-Falih, is to enable these communities to use technology and innovation to deliver the highest-quality products that meet top environmental standards.

There are projects that are part of Saudi Aramco’s integrated strategy for the Kingdom’s refining sector, such as SATORP in Jubail, which was constructed last year and is currently operating at full capacity; the integrated Jazan Refinery mega-project, which is currently under construction; the YASREF Refinery in Yanbu’, which compares to SATORP in size and is currently in trial operation stages; and the current expansion in Luberef for base oils.