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FINANCIAL NEWS
Saudi PetroRabigh losses hit USD122.7m in Q3
22 Oct 2015
(MENAFN) Saudi Rabigh Refining and Petrochemical Co. (PetroRabigh) said it swung to a net loss in the third quarter, attributing it to lower margins on petrochemical products and weak oil prices.
The firm, a joint venture between Saudi Aramco and Japan’s Sumitomo Chemical, lost USD122.7 million in the three months to Sept. 30, it said in a bourse statement.
It said the main reasons for the losses were lower margins on petrochemical products, the continuous decline in oil prices, low lifting by marketers, as well as its build-up of inventory from its complex shutdown in the fourth quarter.
Saudi petrochemicals producers benefit from subsidized oil, while product prices are closely linked to those of crude so the slump in oil prices has narrowed the margins of the kingdom’s various manufacturers.
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