Jazan Crude Oil Refinery 2 Riyadh

Minister of Petroleum and Mineral Resources Delivers Statement
on Jazan Crude Oil Refinery 2 Riyadh

The minister pointed that out of 15 companies from Saudi private
sectors, eight companies have been qualified and received a Request
For Proposal (RFP) for construction, operation and ownership of
export refinery in Jazan, noting that six foreign companies have also
received RFP which have been culminated by the royal approval of them
and the contents of incentives that will be provided by the
Government of the Custodian of the Two Holy Mosques to support the
economic feasibility of the project.
The Minister pointed out that the incentives include ensuring the
needs of the refinery of crude oil for the operation expected to
begin in the first quarter of 2015 with a production capacity ranging
from 250,000 to 400,000 barrels per day of Arabian heavy oil (or
light or a combination of both); granting investors tax incentives,
for example: a tax deduction up to 15% of the paid capital of the
industrial project, tax deduction of 50% of the cost of the annual
training of Saudis and tax deduction of 50% of annual wages paid to
the Saudis as well as the Government ensuring the building of naval
facilities for handling crude oil and liquid products, in addition
to certain facilities.
He said that the companies are in the process of preparing their
bids to be submitted to the Ministry on the set time, September 2,
2009, adding that the winning consortium will be announced in the
last quarter of this year.
--SPA
1603 LOCAL TIME GMT NNNN