Saudi Arabia’s state-owned oil company Saudi Aramco is looking to expand operations in China. The company said today it is in talks to take a 10 percent stake in Chinese refining company Hengli Petrochemical. The value of the stake is about $1.5 billion, Bloomberg reported.
Expanding
Aramco said in a press release today that it has signed a non-binding memorandum with Hengli Petrochemical regarding the proposed transaction. It added that the transaction is in line with its strategy to expand its crude oil refining business and sell petroleum products to end users in key markets.
“We continue to explore new opportunities in important markets,” Aramco said. “We look forward to forging new partnerships and are excited about the prospect of expanding our presence in the Chinese market,” it added.
Aramco
Saudi Aramco is the world’s largest oil producer and accounts for about 10 percent of global production of the commodity. The firm’s net profit fell by almost a quarter last year to $121.3 billion, mainly due to lower oil prices and lower sales volumes. Despite the decline, the company posted the second-highest net profit in its history.
source: ÄŒTK
