Saudi Aramco and CNPC agree to build refinery in China

Aramco Overseas Company B.V., a subsidiary of Saudi Aramco, and PetroChina Company Ltd., a subsidiary of CNPC, signed a memorandum of understanding related to the planned development of a 10 million metric ton per annum (200,000 barrel per day) grassroots full conversion refinery in Yunnan Province in China. The proposed refinery will be designed to process Arabian crude oil and will produce high-quality refined products, such as ultra low-sulfur gasoline and diesel fuel that meet China’s current and future product specifications. The announcement did not specify project costs nor timeline. The joint venture will be Saudi Aramco’s second oil refining joint venture in China. (March 20,2011)