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This was indirectly alluded to by GRG55 (I think), but it seems to me that such actions having meaning in the context of a transition to multi-polar world, financial or otherwise
http://www.chinadaily.com.cn/cndy/20...t_14449867.htm
Premier Wen Jiabao talks with family members of Abdul-Rahman Ali Al-Jeraisy, president of the Saudi Arabia-China Friendship Association, during a visit to his home in Riyadh on Sunday. Liu Weibing / Xinhua
Strategic partnership confirmed as Wen tours key energy region
RIYADH, Saudi Arabia - In what Riyadh calls "the largest expansion by any oil company in the world", Sinopec's deal on Saturday with Saudi oil giant Aramco will allow a major oil refinery to become operational in the Red Sea port of Yanbu by 2014.
The $8.5 billion joint venture, which covers an area of about 5.2 million square meters, is already under construction. It will process 400,000 barrels of heavy crude oil per day. Aramco will hold a 62.5 percent stake in the plant while Sinopec will own the remaining 37.5 percent.
The deal "represents a strategic partnership in the refining industry between one of the main energy producers in Saudi Arabia and one of the world's most important consumers", said Aramco president and CEO Khalid Al-Falih.
Sinopec, the largest producer and supplier of oil products in Asia, is already Aramco's top crude oil customer, according to Al-Falih. Sinopec Group chairman Fu Chengyu said the project propels the two companies' strategic cooperation and contributes to enhancing the partnership between China and Saudi Arabia.
Al-Falih called the endeavor the latest chapter in a long history of cooperation, collaboration and trade between China and the Arabian Peninsula.
The setting up of the refinery would promote economic development, said Shen Yamei, a researcher with the China Institute of International Studies.
The deal was signed during Premier Wen Jiabao's six-day trip to the Middle East. He will fly to Abu Dhabi, capital of the United Arab Emirates, on Monday.
Saudi Arabia, the only G20 member that is also a member of the Organization of Petroleum Exporting Countries, was the first leg of his visit.
Beijing and Riyadh, strategic partners since 2006, agreed to boost bilateral relations during Wen's visit.
The move reflected the two countries' "firm willingness to join hands in coping with challenges and safeguard common interests amid profound adjustments to global situations", Wen told Saudi Crown Prince Nayef bin Abdul-Aziz upon arrival in Riyadh late on Saturday.
Wen, the first Chinese Premier to visit Saudi Arabia since 1991, said that both countries should expand trade in crude oil and natural gas and deepen their energy partnership.
Riyadh is Beijing's largest supplier and the world's top exporter of crude oil.
Imported oil accounted for 56.5 percent of China's total oil consumption in 2011, according to an earlier statement by Liu Tienan, director of the National Energy Administration.
Beijing encourages Chinese companies to participate in Saudi Arabia's infrastructure construction such as rail, ports, electricity and telecoms, Wen said on Saturday.
Nayef, who was appointed Crown Prince in October and is also Riyadh's deputy prime minister and minister of interior, said Saudi Arabia is willing to further cooperation across a wide range of areas, including trade, energy, infrastructure, culture, and security.
Wen had a number of meetings on Sunday, including with the Saudi Arabian King and Prime Minister Abdullah bin Abdul-Aziz, Organization of Islamic Cooperation (OIC) Secretary-General Ekmeleddin Ihsanoglu, and Abdullatif al-Zayani, Secretary-General of the Gulf Cooperation Council.
Wen called for an end to violence against civilians in West Asia and North Africa during the meeting with Ekmeleddin Ihsanoglu.
Wen said China and the OIC shared common interests in safeguarding peace and stability in West Asia and North Africa, adding the OIC and the Arab League could play an important role in this regard.
"This trip promotes the current strategic partnership between China and Saudi Arabia to a higher level," said Hua Liming, a former ambassador to Iran.
With political turbulence in West Asia and North Africa, Saudi Arabia carries a great deal of influence, Hua said. China hopes to take this chance to boost good relations.
Earlier on Sunday, Wen visited Abdul-Rahman Ali Al-Jeraisy, president of the Saudi Arabia-China Friendship Association.
Abdullah Saeed Al-Mobty, chairman of the Saudi Chamber of Commerce and Industry, told Wen that trade cooperation should deepen between Beijing and Riyadh. Wen said that the two countries should be "long-term, stable" energy partners and that China will support infrastructure development in Saudi Arabia.
Wen will address the Fifth World Future Energy Summit in Abu Dhabi on Monday. After meeting local leaders, he is scheduled to leave for Doha for the final leg of his Middle East visit on Wednesday.
http://www.egyptoil-gas.com/read_art...es.php?AID=394
http://www.chinadaily.com.cn/cndy/20...t_14449867.htm
Premier Wen Jiabao talks with family members of Abdul-Rahman Ali Al-Jeraisy, president of the Saudi Arabia-China Friendship Association, during a visit to his home in Riyadh on Sunday. Liu Weibing / Xinhua Strategic partnership confirmed as Wen tours key energy region
RIYADH, Saudi Arabia - In what Riyadh calls "the largest expansion by any oil company in the world", Sinopec's deal on Saturday with Saudi oil giant Aramco will allow a major oil refinery to become operational in the Red Sea port of Yanbu by 2014.
The $8.5 billion joint venture, which covers an area of about 5.2 million square meters, is already under construction. It will process 400,000 barrels of heavy crude oil per day. Aramco will hold a 62.5 percent stake in the plant while Sinopec will own the remaining 37.5 percent.
The deal "represents a strategic partnership in the refining industry between one of the main energy producers in Saudi Arabia and one of the world's most important consumers", said Aramco president and CEO Khalid Al-Falih.
Sinopec, the largest producer and supplier of oil products in Asia, is already Aramco's top crude oil customer, according to Al-Falih. Sinopec Group chairman Fu Chengyu said the project propels the two companies' strategic cooperation and contributes to enhancing the partnership between China and Saudi Arabia.
Al-Falih called the endeavor the latest chapter in a long history of cooperation, collaboration and trade between China and the Arabian Peninsula.
The setting up of the refinery would promote economic development, said Shen Yamei, a researcher with the China Institute of International Studies.
The deal was signed during Premier Wen Jiabao's six-day trip to the Middle East. He will fly to Abu Dhabi, capital of the United Arab Emirates, on Monday.
Saudi Arabia, the only G20 member that is also a member of the Organization of Petroleum Exporting Countries, was the first leg of his visit.
Beijing and Riyadh, strategic partners since 2006, agreed to boost bilateral relations during Wen's visit.
The move reflected the two countries' "firm willingness to join hands in coping with challenges and safeguard common interests amid profound adjustments to global situations", Wen told Saudi Crown Prince Nayef bin Abdul-Aziz upon arrival in Riyadh late on Saturday.
Wen, the first Chinese Premier to visit Saudi Arabia since 1991, said that both countries should expand trade in crude oil and natural gas and deepen their energy partnership.
Riyadh is Beijing's largest supplier and the world's top exporter of crude oil.
Imported oil accounted for 56.5 percent of China's total oil consumption in 2011, according to an earlier statement by Liu Tienan, director of the National Energy Administration.
Beijing encourages Chinese companies to participate in Saudi Arabia's infrastructure construction such as rail, ports, electricity and telecoms, Wen said on Saturday.
Nayef, who was appointed Crown Prince in October and is also Riyadh's deputy prime minister and minister of interior, said Saudi Arabia is willing to further cooperation across a wide range of areas, including trade, energy, infrastructure, culture, and security.
Wen had a number of meetings on Sunday, including with the Saudi Arabian King and Prime Minister Abdullah bin Abdul-Aziz, Organization of Islamic Cooperation (OIC) Secretary-General Ekmeleddin Ihsanoglu, and Abdullatif al-Zayani, Secretary-General of the Gulf Cooperation Council.
Wen called for an end to violence against civilians in West Asia and North Africa during the meeting with Ekmeleddin Ihsanoglu.
Wen said China and the OIC shared common interests in safeguarding peace and stability in West Asia and North Africa, adding the OIC and the Arab League could play an important role in this regard.
"This trip promotes the current strategic partnership between China and Saudi Arabia to a higher level," said Hua Liming, a former ambassador to Iran.
With political turbulence in West Asia and North Africa, Saudi Arabia carries a great deal of influence, Hua said. China hopes to take this chance to boost good relations.
Earlier on Sunday, Wen visited Abdul-Rahman Ali Al-Jeraisy, president of the Saudi Arabia-China Friendship Association.
Abdullah Saeed Al-Mobty, chairman of the Saudi Chamber of Commerce and Industry, told Wen that trade cooperation should deepen between Beijing and Riyadh. Wen said that the two countries should be "long-term, stable" energy partners and that China will support infrastructure development in Saudi Arabia.
Wen will address the Fifth World Future Energy Summit in Abu Dhabi on Monday. After meeting local leaders, he is scheduled to leave for Doha for the final leg of his Middle East visit on Wednesday.
The Egyptian Ministry of Petroleum signed an agreement with China to build a new $2 billion refinery, which will have its affect on the oil industry in Egypt. "Signing this agreement with China to build a refinery could not pick a better time. We are now on the right track, especially that our current refineries lack the technologies that being used in other countries," an official in the petroleum sector told Egypt Oil & Gas newspaper (EOG).
He added that the nine refineries operating in Egypt now are mostly producing Mazut and Solar, but the new refinery, to operate with the two stages system, will provide up to 30 million tones of petroleum products and decrease the country’s imports from other countries, which would decrease the bill of importing products at high prices from the foreign partner.
According to the terms of agreement, the refinery will be operated under the B.O.T system through which Egypt will fully own the refinery after a 25-year period. "Most of the developing countries operate with the B.O.T system in order to avoid the high cost of initiating private refineries with modern technologies that need major investments," answered the source when asked about his opinion concerning this ownership condition.
"Our production is rising, however it is not parallel to the continuous increase of local demand. That is why the ministry is always busy trying to satisfy the citizens’ needs," he commented when asked about the main goal of founding such refinery with China. He also said that it would bring more foreign investments to the country, and that would support the movement of exploration too.
Eng. Sameh Famhy, the Egyptian Minister of Petroleum said that Egypt would hold 10% share at the beginning of this project that will be paid from the revenues attained during operation phase. Then, after 20 years, a 41% ownership share will be transferred to Egypt, while the remaining 49% share will be gradually given to the Egyptian side during the last five years of the agreement.
Fahmy assured that the 25-year period is too short compared to other petroleum projects, such as the refinery of Al-Nasr Petroleum Co. at the Suez governorate, which has been held for 100 years, and still operating effectively and partially supplying the needs of local market thanks to the regular maintenance of equipments.
"The new Egyptian-Chinese refinery will be constructed at the Al-Nasr Petroleum Co. properties in order to utilize the existing facilities, which reflects the trust in the capabilities of this 100-year refinery,” said Fahmy.
He added that the nine refineries operating in Egypt now are mostly producing Mazut and Solar, but the new refinery, to operate with the two stages system, will provide up to 30 million tones of petroleum products and decrease the country’s imports from other countries, which would decrease the bill of importing products at high prices from the foreign partner.
According to the terms of agreement, the refinery will be operated under the B.O.T system through which Egypt will fully own the refinery after a 25-year period. "Most of the developing countries operate with the B.O.T system in order to avoid the high cost of initiating private refineries with modern technologies that need major investments," answered the source when asked about his opinion concerning this ownership condition.
"Our production is rising, however it is not parallel to the continuous increase of local demand. That is why the ministry is always busy trying to satisfy the citizens’ needs," he commented when asked about the main goal of founding such refinery with China. He also said that it would bring more foreign investments to the country, and that would support the movement of exploration too.
Eng. Sameh Famhy, the Egyptian Minister of Petroleum said that Egypt would hold 10% share at the beginning of this project that will be paid from the revenues attained during operation phase. Then, after 20 years, a 41% ownership share will be transferred to Egypt, while the remaining 49% share will be gradually given to the Egyptian side during the last five years of the agreement.
Fahmy assured that the 25-year period is too short compared to other petroleum projects, such as the refinery of Al-Nasr Petroleum Co. at the Suez governorate, which has been held for 100 years, and still operating effectively and partially supplying the needs of local market thanks to the regular maintenance of equipments.
"The new Egyptian-Chinese refinery will be constructed at the Al-Nasr Petroleum Co. properties in order to utilize the existing facilities, which reflects the trust in the capabilities of this 100-year refinery,” said Fahmy.
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