Saudi Aramco and China Baowu intend to cooperate to build a factory in Saudi Arabia

Recently, Baosteel Co., Ltd. and Saudi Aramco signed a memorandum of understanding to jointly build a world-class full-process heavy plate plant in Saudi Arabia, and reached agreement on the feasibility study of the project and the work content that the two parties will jointly carry out in the future.

At the signing ceremony, Saudi Aramco also announced the latest expansion of industrial investment plan (Aramco Nama'at), focusing on capacity building in four key areas, including sustainability, technology, industrial and energy services, and advanced materials, to promote economic expansion. And diversified development. As an important part of the investment plan, the heavy plate plant project developed in cooperation with Baosteel Co., Ltd. aims to leverage on Baosteel Co.’s deep strength and rich experience as a leader in the steel industry to provide a strong support.

It is understood that Saudi Aramco announced plans to expand its industrial investment program Namaat-signing a number of agreements with global companies to build capabilities in key sectors. The company stated that it has signed 22 new memorandums of understanding (MOU) and 1 joint venture agreement-all of which focus on sustainability, technology, industrial and energy services, and advanced materials, one of which is with Baosteel Cooperate to build a steel plant. Baosteel Co., Ltd. stated that this project is an important measure for the company to actively participate in the construction of the “Belt and Road” and continuously deepen exchanges and cooperation with countries along the route in the fields of equipment, technology, and management. The project mainly includes the construction of a full-process heavy plate plant and related supporting facilities, which are positioned to produce high-end heavy plate products.

Saudi Aramco is one of the world's largest oil producers and refining companies, as well as an important crude oil supplier in China and a strategic customer of Baosteel. Baosteel Co., Ltd. stated that through the construction and operation of cooperative projects, the two parties will establish capital bonds, strengthen mutual trust, and further deepen strategic cooperation.