Saudi Aramco has closed three transactions involving refining, wholesale, and plane fuel businesses with Polish refiner and fuel retailer PKN Orlen in Poland.
As part of the agreement through its subsidiary Aramco Overseas Company, which was signed earlier this year, Aramco acquired a 30% stake in the 210,000bpd Gdańsk refinery and a 100% stake in the site’s associated wholesale business.
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Aramco also acquired a 50% stake in a jet fuel marketing joint venture with BP.
Aramco downstream senior vice-president Mohammed Al Qahtani said: “These investments are part of our efforts towards cementing Aramco’s presence in a key European market, and provide a unique opportunity to develop new liquids to chemicals pathways, with hopes of expanding our global downstream footprint and supporting the diversification of our portfolio.”
The transactions are part of Aramco’s plan to expand its liquids to chemicals capacity to up to four million barrels per day.
PKN Orlen management board president Daniel Obajtek said: “These transactions are of strategic importance in further strengthening energy supplies, not only in Poland but for the entire region.
“We have built the largest company in Central Europe, with a diversified portfolio of assets that will effectively strengthen current business lines and develop new ones. This creates new growth opportunities to allow us to continue to expand in prospective and high-margin products.”
Aramco and Orlen have also signed a crude oil sales agreement, whereby Aramco will supply approximately 45% of the crude oil requirements of Orlen.
PKN Orlen, Aramco, and Aramco’s majority-held Saudi Arabian Basic Industries Corp. (Sabic) have also signed a joint development agreement for a potential petrochemical project at Gdańsk.
The partners will jointly assess the technical and economic feasibility of the proposed project.
