DHAHRAN: Top-ranking Chinese companies are making the most of their presence at the ongoing Saudi Arabia International Oil and Gas Exhibition (SAOGE).
China Petroleum Technology and Development Corporation (CPTDC) and Sinopec have attracted a large number of visitors to their massive stands at the Dhahran International Exhibition Center.
"Our mother company, China National Petroleum Corporation (CNPC), is a state-owned oil giant; it is the largest integrated energy company in China," said Yuan Lu (Basir), the chief representative for CPTDC in Saudi Arabia. "You can call CNPC as the Saudi Aramco of China."
Talking to Arab News yesterday, he said his company has been doing business in Saudi Arabia for the last five years and has two major clients in Saudi Aramco and Saipem.
"We supply a lot of equipment to Saipem such as drilling line and rigs," said Yuan.
This is CPTDC's third time at SAOGE. "Since we have had a pretty good response during the previous editions of this exhibition, we decided to go in for the biggest and largest stand at SAOGE 2012," he said.
CPTDC is the largest supplier of Chinese petroleum and petrochemical materials and equipment in the world.
"Our company is an approved vendor for Saudi Aramco, and we all know that Saudi Aramco always sets the highest benchmark in the oil and gas industry. This market is very tough to crack," said Yuan. "Having said that, our worldwide experience gives us a tremendous competitive advantage over others. We know the requirements of this market, and that is why we have achieved good success in these last five years."
According to Yuan, there are three kinds of visitors at SAOGE. "Top on the list is our primary and most important client Saudi Aramco and Saipem, their representatives are looking for good and competitive products. Local contractors follow them. They are basically looking for latest equipment for their projects. Then there are the local agents. They are interested in distributing our state-of-the-art products," he said.
Yuan is delighted with the good response. "For sure, CPTDC is getting good and interesting enquiries, and we hope to clinch many deals and open many accounts in Saudi Arabia and in the region," he said.
The Sinopec stand was busy throughout the day. Oliver Juria, division chief, oil and gas business development, and Yan Yan, key account officer, were at hand to explain the company's rising profile in Saudi Arabia.
"This is our second time at SAOGE," said Juria. "The first time was in 2010, and many of the projects that we are currently executing were a direct result of our presence here in 2010."
According to Juria, in 2010 the idea was to introduce the company. "We wanted to let the people know who we are," he said. "Sinopec has now established itself in Saudi Arabia and we have seen nearly 30 percent increase in our business in 2011."
He said by being at SAOGE 2012, Sinopec wanted to convey to the people and the industry in Saudi Arabia, "that we are here to partner with them in the industrial growth of the Kingdom."
Yan Yan said those who have been visiting the company stand wanted to know more the Sinopec culture. "They are interested in us and our business activity," he said. "And we are more than happy to field their queries."
He highlighted Sinopec's focus on imparting training to Saudi youngsters. "Last year, we trained 1,500 Saudis; some of them were absorbed in the company's various operations. We plan to increase this number," said Yan Yan.
The two Sinopec executives admitted that it was not easy to set up business in the Saudi market. "We all know that American and European companies dominated this market in the past. There will always be tough competition," said Juria.
Asian companies, they say, have huge opportunities in Saudi Arabia. "More important, Sinopec has been in this business for 60 years and we have good idea on how to compete in this highly competitive market. Our success here in the last couple of years is proof of that fact that we are second to none," said Juria.
SAOGE 2012, organized jointly by the Rome-based International Exhibition Services (IES) and Dhahran International Exhibitions Company (DIEC), ends at 2:30 p.m. today.
Chinese firms vie for key contracts at SAOGE
Chinese firms vie for key contracts at SAOGE
Saudi Arabia, Turkiye sign government agreement on renewable energy power plant projects
RIYADH: Saudi Arabia and Turkiye have signed an agreement on renewable energy power plant projects.
This took place during the official visit of Turkish President Recep Tayyip Erdogan to the Kingdom and within the framework of strengthening bilateral relations as well as consolidating strategic cooperation between the two countries in the energy sector.
The agreement was signed on the Saudi side by Prince Abdulaziz bin Salman, minister of energy, and by Alparslan Bayraktar, minister of energy and natural resources, on behalf of the Turkish side.
The agreement aims to enhance cooperation between the two countries in the fields of renewable energy and green technologies, and to support the development and implementation of high-quality projects that contribute to diversifying the energy mix, enhancing energy security, and accelerating the transition to a low-carbon economy, in line with the priorities and strategies of both countries.
The agreement includes the development and implementation of solar power plant projects in Turkiye, with a total installed capacity of up to 5,000 megawatts, in two phases.
The first phase entails two solar power projects in Sivas and Karaman, with a total capacity of 2,000 MW. The second phase includes additional projects to be implemented according to the frameworks agreed upon by both parties, with an additional capacity of 3,000 MW.
The projects in the first phase offer highly competitive electricity prices compared to other renewable energy plants in Turkiye. Furthermore, these plants, representing an investment of approximately $2 billion, will supply electricity to more than two million Turkish households.
A Turkish state-owned company will purchase the electricity generated by these plants for a period of 30 years. During the implementation of the projects, the local use of equipment and services will be maximized.
Both sides affirmed that this agreement represents a significant step towards strengthening the investment partnership between the Kingdom and Turkiye.
It also reflects the mutual trust between the two countries and their shared commitment to expanding cooperation in strategic projects with sustainable economic and developmental impact, in accordance with best international practices, while contributing to knowledge transfer, capacity building, and achieving mutual benefits for both nations.
Trade exchange between the Kingdom and Turkiye increased by approximately 6 percent year on year during the first 11 months of last year, reaching around SR28.2 billion ($7.5 billion), according to the Financial Analysis Unit at Al-Eqtisadiah newspaper, based on data from the General Authority for Statistics.
This indicates the continued development of trade relations between the two countries and improved flows of goods,
The data revealed that Saudi exports constituted 58 percent of total trade exchange, compared to 42 percent for imports, resulting in a trade surplus for Saudi Arabia of SR4.4 billion.
During this period, Saudi exports amounted to approximately SR92.6 billion, compared to imports of Turkish goods worth SR48.3 billion, resulting in a cumulative trade surplus in favor of Saudi Arabia of SR44.3 billion.
Speaking at the Saudi-Turkiye Investment Forum 2026, Chairman of the Saudi-Turkish Business Council Sami Al-Osaimi said that 1,400 Saudi companies are in Turkiye with investments exceeding $18 billion, compared to 390 Turkish companies investing in the Saudi market, according to a statement.
