Total and Saudi Aramco have signed a Memorandum of Understanding (MoU) to build a giant petrochemical complex in Jubail, Saudi Arabia. The MoU was signed during Saudi Crown Prince Mohammed bin Salman’s official visit to France, following his multi-week tour of the US.

The complex will be integrated downstream of Total and Aramco’s joint venture Satorp refinery, in a move the companies said was designed to fully exploit operational synergies. The refinery, owned 62.5% by Aramco and 37.5% by Total, has a capacity of 440,000 barrels per day.

The project, which will see an investment of $5 billion, will comprise a world-scale mixed-feed steam cracker (50% ethane and refinery off-gas) producing 1.5 million t/y of ethylene and related high-added-value petrochemicals. The cracker will feed other petrochemical and specialty chemical plants, representing an additional investment of $4 billion by third-party investors.

No further details were given on the project’s proposed product slate or when it was due to go on stream. However, Total said that the complex will produce more than 2.7 million t/y of high-value chemicals, creating 8,000 local direct and indirect jobs. Front end engineering and design (FEED) is planned to start in the third quarter of 2018.

 “This project illustrates our strategy of maximizing the integration of our large refining and petrochemical platforms and of expanding our petrochemical operations from low-cost feedstock, to take advantage of the fast-growing Asian polymer market,” commented Total’s chairman and CEO, Patrick Pouyanné.

Aramoc’s president and CEO, Amin Nasser, added that the agreement deepens the exemplary relationship that the two companies have enjoyed over many decades and further underpins Aramco’s strategy to expand its chemicals capacity by 2030.