Gulf Oil and Gas accountACCOUNT

Saudi Arabia Approves New Fund to Invest in Manufacturing

Source: Reuters 3/24/2014, Location: Middle East

Saudi Arabia's cabinet has approved the creation of a new company to invest in manufacturing industries as the world's top oil exporter tries to diversify its economy and generate jobs, state news agency SPA said.

The new Saudi Arabian Company for Industrial Investment will have capital of 2 billion riyals ($533 million). "It will focus on conversion industries that rely on petrochemicals, plastics, fertilisers, steel, aluminium and basic industries (and) that achieve economic diversification," SPA reported.

The decision fits in with government efforts to develop a broad downstream industrial base, alongside the creation of industrial zones that take advantage of the kingdom's low energy costs and readily available raw materials.

Oil Minister Ali al-Naimi has previously said that Saudi Arabia produces many raw materials and petrochemicals but does not invest enough in manufacturing finished products to generate jobs for its young people.

The new company is a joint venture between the finance ministry's Public Investment Fund, state oil firm Saudi Aramco and Saudi Basic Industries Corp (SABIC).

SABIC, Aramco and other state-owned companies produce large quantities of base chemicals, metals and other minerals.

SABIC, which has some shares traded on the Riyadh stock market but remains majority state-owned, is building a new synthetic rubber plant with U.S. firm Exxon Mobil.

It will be the first synthetic rubber plant in the kingdom, and is aimed at satisfying increasing transport demand and vehicle use in the Middle East, Africa and Asia.

Aramco is expanding its investment with Japan's Sumitomo Chemical in Rabigh on the Red Sea coast while developing a major petrochemicals plant in Jubail with U.S. company Dow Chemical.

Petrochemicals News in Saudi Arabia >>

Oman >>  5/15/2019 - KBR, Inc. (KBR) has been awarded a Front End Engineering Design (FEED) contract by Oman LNG L.L.C for the debottlenecking of their facility at Sur in ...
United Arab Emirates >>  5/10/2019 - McDermott International has been awarded a sizeable* contract by ADNOC to provide FEED services on a design-competition basis for phase one of the Umm...

Iraq >>  5/9/2019 - Iraq is planning a $53 billion mega project with global energy giants ExxonMobil and PetroChina to use seawater from the Persian Gulf to boost oil pro...
Qatar >>  5/9/2019 - Northern Offshore announces firm Letter of Awards for two (2) long-term contracts for its premium, heavy-duty jack-up drilling units from Qatar Petrol...

Saudi Arabia >>  5/3/2019 - KBR, Inc. (KBR) has received a three year extension to its existing General Maintenance Services (GMS) contract for the 440,000 bpd refinery at SATORP...
United Arab Emirates >>  5/1/2019 - McDermott International, Inc. (MDR) announced it has been awarded a sizeable* contract by ADNOC Refining to provide front-end engineering design (FEED...

Related Categories: Agents, Anti-foaming  Aromatic Solvents  Butene  Cleaning  Corrosion Inhibiting  Crude Oil  Diesel Fuel  Ethylene  Fluids Drilling, Completion, Workover & Stimulation  Fluids/Chemicals  Fracturing Sand  Fuel oil  Gasoline (Lead free)  General  Grout  Jet fuel  Kerosene. Domestic use  Lubricants, Oils & Greases  Nitrogen  Oil Treating & Refining  Polyethylene  Polyvinyl chloride  Propane  Sand, Sandblast  Summer Diesel  Surfactants 

Related Articles: Aromatic Solvents  Butene  Cleaning  Corrosion Inhibiting  Crude Oil  Diesel Fuel  Ethylene  Fluids Drilling, Completion, Workover & Stimulation  Fluids/Chemicals  Fracturing Sand  Fuel oil  Gasoline (Lead free)  General  Jet fuel  Kerosene. Domestic use  Lubricants, Oils & Greases  Nitrogen  Oil Treating & Refining  Polyethylene  Polyvinyl chloride  Propane  Sand, Sandblast  Surfactants 


Saudi Arabia Oil & Gas 1 >>  2 | 3 | 4 | 5 | 6 | 7 | 8 | 9 | 10 | 11 | 12 | 13 | 14 | 15 | 16 | 17 | 18 |

More News

Related Links

Gulf Oil and Gas
Copyright © Universal Solutions All rights reserved. - Terms of Service - Privacy Policy.