- Title: Malaysia PM says Saudi Aramco to invest $7 billion in oil refinery project
- Date: 27th February 2017
- Summary: PUTRAJAYA, MALAYSIA (FEBRUARY 27, 2017) (REUTERS) ****WARNING CONTAINS FLASH PHOTOGRAPHY*** SAUDI ARABIA'S KING SALMAN AND MALAYSIA PRIME MINISTER NAJIB RAZAK SITTING DURING MOU SIGNING BETWEEN TWO COUNTRIES VARIOUS OF KING SALMAN AND NAJIB SITTING CAMERAMEN FILMING VARIOUS OF SAUDI DELEGATES SITTING VARIOUS OF MALAYSIA DELEGATES SITTING MOU SIGNING ON GOING VARIOUS OF STA
- Embargoed: 13th March 2017 11:29
- Keywords: Aramco IPO oil refinery Prime Minister Najib Razak RAPID project
- Location: PUTRAJAYA, MALAYSIA
- City: PUTRAJAYA, MALAYSIA
- Country: Malaysia
- Topics: Company News Markets,Economic Events
- Reuters ID: LVA00165AOWG5
- Aspect Ratio: 16:9
- Story Text: Malaysia's Prime Minister Najib Razak announced on Monday (February 27) that Saudi Arabia's state oil company Saudi Aramco will invest $7 billion into an oil refinery and petrochemical project in Malaysia's southern state of Johor.
Najib said the decision was made before noon on Monday after discussions between top executives from Saudi Aramco and Malaysia's state-owned energy company Petroliam Nasional Bhd (Petronas), the sponsor of the $27 billion Refinery and Petrochemical Integrated Development (RAPID) project.
Najib's statement marks a dramatic reversal in RAPID's fortunes after industry sources familiar with the matter said in January that Aramco planned to drop its participation in a partnership with Petronas in the project. At the time, Petronas said it would move ahead in spite of Aramco dropping out. Najib did not give any details on the change of heart.
"Tomorrow, there will be a signing ceremony on the cooperation between Petronas and Aramco to develop an oil refinery in Pengerang, Johor under the RAPID project. The value of Aramco's investment is $7 billion. This is a significant investment," he said.
The RAPID project, located at Pengerang in Johor, is expected to begin operations in the first quarter of 2019. RAPID will contain a 300,000-barrel-per-day oil refinery and a petrochemical complex with a production capacity of 7.7 million metric tonnes. The complex will be alongside an existing oil storage site at Pengerang. - Copyright Holder: REUTERS
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