S.Arabia and Russia sign major deals on petchem cooperation

According to media reports, Saudi King Salman has concluded several multi-billion dollar agreements on possible cooperation and investment activities between Saudi Arabia and Russia during his visit to Moscow.

The two countries announced the establishment of a new energy investment platform according to a statement from Russian Direct Investment Fund (RDIF). The new agreement between Sibur, RDIF, the Saudi Arabia’s investment fund (PIF) and state-owned Saudi Aramco launches a collaboration on potential petrochemical cooperation and investment activities, including marketing of petrochemical products. The agreement, which is worth $1billion, will also reportedly allow Russia to expand in the Middle East market.

A similar agreement has also been signed between SIBUR, Saudi Aramco and SABIC.

An agreement of collaboration between LITASCO and Saudi Aramco was among the other fourteen memorandums of understanding inked during this visit. According to a statement from the company’s website, the new agreement will allow Saudi Arabia to access to Mediterranean and Red Sea through LITASCO, which functions as the trading arm of Russian Lukoil.