KUALA LUMPUR, March 20 — The negotiation on Saudi Aramco’s US$7 billion (US$1 = RM3.91) investment in Petronas’ Refinery and Petrochemical Integrated Development project (RAPID) in Pengerang, Johor, has been concluded, said Minister in the Prime Minister Department, Datuk Seri Abdul Rahman Dahlan.

"We expect the US$7 billion investment to be in by end of this month,” he told reporters after announcing the update on the project in his opening speech at the four-day Offshore Technology Conference Asia here today.

Also present at the conference, starting today, was Petronas President and Chief Executive Officer, Tan Sri Wan Zulkiflee Wan Ariffin.

The Pengerang Integrated Complex (PIC) project was designed to produce premium differentiated petrochemicals to meet domestic demand for petroleum products and the Malaysian government’s future legislative requirements upon the implementation of Euro 5 emission standards.

With an investment of US$27 billion, PIC supports the government’s overall Economic Transformation Programme and puts Malaysia in a strategic position to capitalise on the growing need for energy and commodity petrochemical products in Asia for the next 20 years.

"This will spur the growth of Malaysia’s oil and gas downstream sector, pushing Malaysia into a new frontier of technological and economic development,” he said.

Abdul Rahman said Saudi Aramco’s investment demonstrated international investors’ confidence in Malaysia as a preferred investment destination.

In February last year, Saudi Aramco had expressed interest to invest US$7 billion in selected ventures and facilities located within the PIC.

The investment in Petronas RAPID would be their largest investment in greenfield refining and petrochemical manufacturing facilities outside Saudi Arabia. — Bernama