The refinery, located in Panjin City, serves as a cornerstone of Saudi Arabia’s long-term strategy to lock in Chinese market share by integrating its crude output directly into local processing infrastructure. The facility boasts a processing capacity of 300,000 barrels per day, supported by an adjacent petrochemical plant capable of producing 1.65 million metric tons of ethylene and 2 million metric tons of paraxylene annually.
Aramco’s Panjin Refinery Receives First Saudi Crude Cargo
The Huajin Aramco Petrochemical Company has taken delivery of its inaugural shipment of Arab crude, marking a milestone for the Saudi-Chinese joint venture. While the facility readies for production in northeast China, the timeline for commercial operations has shifted to early 2027 amid broader supply chain pressures.
Under the partnership agreement, Saudi Aramco holds a 30% stake, while Chinese firms NORINCO Group and Panjin Xincheng Industrial Group control 51% and 19%, respectively. Aramco is committed to supplying up to 210,000 barrels per day of feedstock to the site. Although initial projections targeted a 2026 launch, regional instability and delivery disruptions have pushed the start date to the first quarter of 2027. To maintain export flows, Saudi Arabia has increasingly relied on its East-West pipeline, routing crude to the Red Sea port of Yanbu to bypass potential maritime chokepoints.
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