Industry Trend Analysis - Aramco Partnership Positive For RAPID - APR 2017
BMI View : Saudi Aramco ' s decision to invest up to USD7.0bn in the RAPID refining complex in Malaysia is positive for the project ' s outlook, and significantly reduces the financial burden placed on operator Petronas. The deal would help to lock-in future demand for Saudi crudes from Malaysia, which is set to swing to a net importer by 2020.
In line with its strategy to grow its presence in the Asian downstream market, Saudi Arabia's state-owned oil and gas company Saudi Aramco announced that it will invest up to USD7.0bn in the Petronas-led Refinery and Petrochemical Integrated Development (RAPID) project in Johor, Malaysia. The announcement was made during Deputy Crown Prince Mohammed bin Salman's visit to Malaysia in February 2017, which is part of the Prince's planned month-long tour across the Asia-Pacific region to boost economic ties and attract investment to the Kingdom.
Aramco Addition Reduces Burden On Petronas
|Crude Surplus To End By 2020|
|Malaysia - Crude Oil Production & Net Crude Oil Exports|
|e/f = BMI estimate/forecast. Source: National Sources, EIA, BMI|