Couple significant things on this Saudi JV expansion & coker addition besides it being first Sinopec JV outside China borders:
This new refinery is also expected to produce anode grade green coke, only problem other calciners beign that the refinery is on the Red Sea & new Saudi anode petcoke will still be long way from China calciners and behind Mideast regional demand even in JV setup.
The Yanbu ONLY makes Anode grade if they install Resid FCC to process all Coker feedstock….. Otherwise its fuel coke. Since Yanbu is Govt owned refinery & the Govt owns/has obligations to Saudi Aluminum smelters & Saudi calciners need for Anode grade they claim its going make. BUT – and its big one – they could not afford original design “FEED” with RFCC & cokers on this 400mbd expansion at Yanbu.
One reasons Saudi’s canceled this and rebid projects (besides investors like COP dropping out) was to try get $US 13B cost back under $10B (started at $6 billion but increased $10, then $12 & finally $13Billion before rebid). Last cost quote I heard was $SRU 20 Billion which I think is in the $10-12 B range before this JV deal surfaced. Perhaps Sinopec is going carry 42% Capital cost thru EPC/Coker tech side to let it get thru/below what appears to be less than $10 B cost hurrdle for project.
Still have see Government confirmation of RFCC’s and an Anodecoke production commitment. <Since Sinopec/China is going lose Kuwait green, makes sense they would help push this rock uphill>