BUSINESS

Sinopec and Saudi Aramco Launch $10 Billion Petrochemical Venture in Fujian

Published: Sep. 9, 2025 3:02 a.m. GMT+8

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Sinopec, Saudi Aramco, and Sinopec Fujian Refining and Chemical Industry Co. Ltd. inaugurated Fujian Sinopec Aramco Refining & Petrochemical Co. Ltd. on Sept. 7

Chinese state-owned energy giant China Petroleum & Chemical Corp. (Sinopec) and Saudi Arabia’s national oil company, Saudi Aramco, have launched a joint venture to build and operate a 71.1 billion yuan ($9.8 billion) refining and petrochemical complex in China’s southeastern Fujian province, a major step in strengthening energy cooperation between the two countries.

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Sinopec and Saudi Aramco launched a $9.8 billion joint venture to build a major refining and petrochemical complex in Fujian, China, expected to process 16 million tons of crude annually.
The project, Fujian Sinopec Aramco Refining & Petrochemical Co. Ltd., is the second phase of the Gulei complex and will be fully operational by 2030.
Saudi Arabia was China’s second-largest crude supplier in 2024, exporting 1.56 million barrels per day, behind Russia.

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Who’s Who

China Petroleum & Chemical Corp. (Sinopec): China Petroleum & Chemical Corp. (Sinopec) is a state-owned energy giant. It has partnered with Saudi Aramco to form a joint venture, Fujian Sinopec Aramco Refining & Petrochemical Co. Ltd., for a $9.8 billion refining and petrochemical complex in China. Sinopec, through its subsidiary, holds a 50% stake in this venture, marking its largest single refining and chemical project.

Saudi Aramco: Saudi Aramco is Saudi Arabia's national oil company. It has partnered with China's Sinopec to launch a 71.1 billion yuan refining and petrochemical complex in China. This project, their fifth joint venture, is part of Aramco's strategy to expand its downstream presence in high-growth markets like China, where it is a top energy supplier. Aramco is also involved in other major developments in Fujian, including an ethylene plant.

Fujian Sinopec Aramco Refining & Petrochemical Co. Ltd.: Fujian Sinopec Aramco Refining & Petrochemical Co. Ltd. is a 71.1 billion yuan (US$9.8 billion) joint venture between China's Sinopec and Saudi Arabia's Aramco. Inaugurated recently, it will lead the second phase of the Gulei refining and petrochemical project in Fujian province, China. The company, registered in September 2023 with 28.8 billion yuan capital, is 50% owned by Sinopec, with Aramco and another Sinopec entity each holding 25%.

Sinopec Fujian Refining and Chemical Industry Co. Ltd.: Sinopec Fujian Refining and Chemical Industry Co. Ltd. (中石化福建炼化有限公司) is a subsidiary of China Petroleum & Chemical Corp. (Sinopec). It holds a 50% stake in the newly formed joint venture, Fujian Sinopec Aramco Refining & Petrochemical Co. Ltd., which will spearhead the second phase of the Gulei refining and petrochemical integration project in China's southeastern Fujian province. This project is noted as Sinopec’s biggest single refining and chemical project to date.

Saudi Basic Industries Corp.: Saudi Basic Industries Corp. (SABIC) is controlled by Aramco. It is involved in a separate 44.8 billion yuan ethylene plant project in Fujian, China, within the Gulei complex. This project is a joint venture with Fujian Energy Petrochemical Group and began construction in February 2024, with completion expected in 2026.

Fujian Energy Petrochemical Group: Fujian Energy Petrochemical Group is a partner in a separate joint venture with Saudi Basic Industries Corp. (controlled by Aramco). This collaboration involves the construction of a 44.8-billion-yuan ethylene plant within the Gulei complex, with completion aimed for 2026.

Xuteng Investment Co. Ltd.: Xuteng Investment Co. Ltd. is a Taiwan-based company that partnered with Sinopec on the first phase of the Gulei petrochemical complex. This initial phase began commercial operations in December 2022.

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What Happened When

December 2022：: First phase of Gulei complex (joint venture between Sinopec and Taiwan-based Xuteng Investment Co. Ltd.) began commercial operations.

Late 2022：: Sinopec and Aramco agreed to partner on the Gulei phase II project.

February 2024：: Construction began on a 44.8-billion-yuan ethylene plant under a joint venture between Saudi Basic Industries Corp. (Aramco-controlled) and Fujian Energy Petrochemical Group within the Gulei complex.