Aramco, Sinopec, and FPCL form joint venture to develop large-scale refining and petrochemical complex in China

• Project represents further progress in Aramco’s strategic downstream expansion
• New complex expected to be operational by end of 2030

Aramco, one of the world’s leading integrated energy and chemicals companies, China Petroleum & Chemical Corporation (Sinopec), and Fujian Petrochemical Company Limited (FPCL) today announced the establishment of a new joint venture, Fujian Sinopec Aramco Refining and Petrochemical Co., Ltd, to develop a large-scale integrated refining and petrochemical complex in Fujian province, China. 

The new joint venture was formed through an agreement signed between Aramco, Sinopec and FPCL. Its establishment reflects the long-standing relationship between the parent companies, and underlines their ongoing contribution to China’s energy security and economic growth. The new complex, which was first announced in November 2024, is expected to be operational by the end of 2030.

Mohammed Y. Al Qahtani, Aramco Downstream President, said: “This project represents further progress in Aramco’s strategic downstream expansion, which aims to capture additional value through both portfolio diversification and business integration. We see significant petrochemical demand growth potential in China, and we are delighted to be an active participant in this key market. The new joint venture also strengthens bonds with our Chinese partners, reflecting our shared confidence in the future of China’s economy and our collective determination to contribute to high-quality development and sustainable growth.” 

The joint venture will oversee construction and operation of an integrated refining and petrochemical complex that will include a 16 million tons-per-year crude oil refining unit (equivalent to 320,000 barrels per day); a 1.5 million tons-per-year ethylene unit; a paraxylene and downstream derivatives capacity of 2 million tons-per-year; and a 300,000 tons capacity crude oil terminal. 

FPCL, a 50:50 partnership between Sinopec and Fujian Petrochemical Industrial Group Company, holds an equity interest of 50% in the new joint venture, with Aramco and Sinopec each holding 25% stakes. 

The project represents the third major manufacturing collaboration between Aramco and Sinopec in China, following the successful launch of the Fujian Refining & Petrochemical Company (FREP) project in 2007, and Sinopec SABIC Tianjing Petrochemical Company (SSTPC) in 2009. It is also the fifth joint venture between Aramco and Sinopec, extending their cooperation in refining and chemicals both in China and internationally.