Saudi oil giant Aramco's ‘one stop shop’ in Chinese city of Shandong could help the country’s long-term energy security, economic development and climate change mitigation goals, said a top official at the 3rd Qingdao Multinationals Summit in China.
Aramco was sponsor of the high-profile event co-hosted by Shandong Province and the Chinese Ministry of Commerce.
Attended by senior government officials, the summit facilitates discussions between foreign companies and Shandong, which is home to 26% of China’s refining capacity and is a key destination for Aramco crude oil exports.
Addressing the gathering, Mohammed Y. Al Qahtani, the Aramco Senior Vice President Downstream, said China’s rising energy needs and the challenging environment underline the strategic case for a more resilient energy system.
"Stronger ties with the world’s largest oil exporter would enhance China’s energy security, especially as we work on increasing our production capacity to 13 million barrels per day," he stated.
Lauding China’s 14th Five Year Plan for prioritizing energy security and stability, and thus acknowledging its crucial role in economic development, Al Qahtani said: "We aspire to invest in China’s future economic growth by building a large, integrated downstream business across the country with our Chinese partners - Everything from reliable supplies of oil and natural gas liquids to refining, marketing, petrochemicals, and lubricants."
Aramco, he stated, already has one of the lowest upstream carbon intensity footprints in the world.
"And, fueled by our well-known net-zero ambitions, we are committed to being one of China’s lowest carbon intensity suppliers of energy far into the future, leveraging ever more advanced technologies like carbon capture, utilization, and storage; hydrogen; and Direct Air Capture technology, while adopting the circular carbon economy framework," noted Al Qahtani.
"In other words, a long-term partnership with Aramco would help China meet its energy security, economic development, and climate change mitigation goals simultaneously," he explained.
That win-win-win especially applies to Shandong Province, where over a quarter of China’s total refining capacity is based, he added.
The Aramco executive said with Aramco support, there’s an incredible opportunity to create a modern, efficient downstream sector in Shandong, with lower emissions, which could provide a wide range of products to the whole nation for decades to come.
"This includes our special interest in large, integrated downstream projects with high conversion into chemicals," stated Qahtani.
"In fact, with Sabic joining the Aramco family, and with nearly 3,000 chemical enterprises already in Shandong Province, we could jointly create a chemicals sector to rival any in the world," he added.-TradeArabia News Service