Business Opportunities in the Energy Sector

1
Business Opportunities in the Energy Sector

• May 2005

2
Outline

• Overview of Saudi Aramco
• Business opportunities
• Achievements
• Summary

3
Saudi Aramco
Overview
Refining
Materials
Petrochemicals
Services
Achievements

• Total reserves over 300 billion barrels of oil
  equivalent
• Reliable supplier of over 11 of the worlds oil
  needs
• Multiple business activities

4
Refining Opportunities
Overview
Refining
Materials
Petrochemicals
Services
Achievements

• Owns and operates five domestic refineries
• Interest in two domestic joint venture refineries
• SAMREF (ExxonMobil)
• SASREF (Shell)
• Interest in five international joint ventures
• Motiva Enterprises
• S-Oil
• Petron
• Motor Oil (Hellas)
• Showa Shell
• New refinery project

5
Potential Refinery Integration
Overview
Refining
Materials
Petrochemicals
Services
Achievements

• Hi Olefin FCC with ethane cracker derivatives
• Mixed Xylene / PX /PTA
• Benzene / Cumene
• Coke and Pitch
• Naphtha cracker derivatives

6
Saudi Arabias Petrochemical Industry
Overview
Refining
Materials
Petrochemicals
Services
Achievements

• Feedstocks from Master Gas System (MGS)
• Gather and process associated gas
• Provided methane, ethane, and NGL feeds
• Saudi Aramco feed supply fostered the chemical
  Industry
• US 0.5 Billion in 1970s
• US 20 Billion in 2000
• Requirements for expanded feedstock
• Associated gas inadequate to meet needs
• Saudi Aramco developed non-associated gas to
  supplement supply

7
Long Term Vision
Overview
Refining
Materials
Petrochemicals
Services
Achievements

• Move further down the value chain
• Diversify product types
• Attract foreign partners

8
Saudi Aramcos Projected Expenditures
Overview
Refining
Materials
Petrochemicals
Services
Achievements
To exceed 20 Billion through 2010
Billion
9
Saudi Aramcos Purchasing Level Activity (2004)
Overview
Refining
Materials
Petrochemicals
Services
Achievements
19
49
32
Potential
10
Saudi Aramcos Projected Expenditures
Overview
Refining
Materials
Petrochemicals
Services
Achievements
To exceed 23 Billion through 2010
Billion
11
Support Services
Overview
Refining
Materials
Petrochemicals
Services
Achievements
To exceed 2 Billion through 2010
12
The Kingdoms Natural Gas Initiative
Overview
Refining
Materials
Petrochemicals
Services
Achievements
13
Rabigh Refinery JV with Sumitomo
Overview
Refining
Materials
Petrochemicals
Services
Achievements

• Key objectives
• Create platform for downstream industries
• Maximize value from existing infrastructure
• Key Features
• Integrate ethylene cracker and high olefins FCC
  with 400 MBD refinery
• Capture benefits from refinery/petrochemical
  synergies
• Business Opportunities
• Establish an export-oriented plastic industry at
  Rabigh
• Provides platform for downstream petrochemical
  industries

14
Summary
Overview
Refining
Materials
Petrochemicals
Services
Achievements

• Major growth in oil gas activities anticipated
  over the coming decade

• A wide range of manufacturing and services
  opportunities are available

• Participation of international and local business
  communities strongly encouraged

15

• Thank You

www.saudiaramco.com