DHAHRAN: Aramco has entered into discussions with Hengli Group of China about the potential acquisition of a 10 per cent stake in Hengli Petrochemical.

A memorandum of understanding (MoU) regarding the proposed transaction was signed last month.

The move aligns with Aramco’s strategy to expand its downstream presence in key high-value markets, advance its liquids-to-chemicals program, and secure long-term crude oil supply agreements.

Hengli Petrochemical owns and operates a 400,000 barrel per day (bpd) refinery and integrated chemicals complex in Liaoning Province, China, and several plants and production facilities in Jiangsu and Guangdong Provinces.

Mohammed Al Qahtani, Aramco Downstream President, said: "This MoU supports our efforts to grow our global downstream footprint. We continue to explore new opportunities in important markets, as we seek to progress in our liquids-to-chemicals strategy. We look forward to forging new partnerships and are excited by the prospect of expanding our presence in the important Chinese market."