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The Middle East News reported today that Saudi Aramco and Dow Chemical Co., Ltd. jointly invested in the construction of Sadar Petrochemical Company in Saudi Arabia on the 8th. At a signing ceremony, Minister of Petroleum and Mineral Resources Naimi said in a speech at the signing ceremony: “August, Saudi Arabia’s national oil output was 9.8 million barrels per day. Compared with August, September’s oil production was reduced by 500,000 barrels per day. The output is 930 million barrels."
He explained that the reason for the reduction in production was that the international oil market had been oscillating for some time and Saudi oil production had also changed. In June this year, the daily production of Saudi oil was 9.8 million barrels. In July, the daily production was reduced to 9.2 million barrels, Naimi said in particular that Saudi Arabia’s reduction in oil production will not affect the supply of the international oil market because Saudi Arabia has sufficient production capacity to maintain a balance between global oil supply and demand.
When talking about whether Saudi Arabia's expansion of petrochemical projects will lead to a shortage of natural gas supply, Naimi said, "Saudi Arabia has abundant natural gas reserves and sufficient natural gas production capacity, and there will be no crisis in the supply of natural gas."
According to reports, the Sardar Petrochemical Company, which was jointly constructed by the Saudi Arabian and U.S. companies, is located in Jubail Industrial City in the east of Saudi Arabia and is currently the world's largest petrochemical project. It is expected to be put into production in the second half of 2015 and put into operation in 2016. The company will mainly produce polyurethanes. , polyethylene, propylene oxide, propylene glycol, etc. e
Saudi Petroleum Minister said that due to the great changes and shocks in the international oil market, the Saudi government has reduced oil production, but it will not affect the global demand for oil.