Chart a good road map for downstream success, say experts

A number of important papers were presented during different sessions and many success stories were highlighted to drive home the key point of promoting and advancing Saudi Arabia's new downstream strategy. Speakers pointed out the Kingdom's competitive advantages, availability of vast tracts of land, good connectivity and abundant availability of feedstock. They called for greater coordination among all stakeholders to realize the immense potential that secondary industries has to offer.
"We can do it and we will do it," said Mosleh H. Al-Otaibi, chief executive officer, Royal Commission in Jubail. "We have had excellent discussions and we all have become wiser after attending these sessions," he said in his closing remarks.
Prominent among those who spoke were Sadara Petrochemical Co. CEO Ali A. Abuali; Saudi Aramco Total Refining and Petrochemical Co. (SATORP) Technical and Optimization Manager Bruno Sirot; Sahara Petrochemical Company Managing Director and CEO Esam Fouad Himdy; Saudi Aramco's Director of Localization and Clusters Department Sami H. Al-Mukhaizeem; Royal Commission's Director of Investment and Industrial Clusters Faysal Al-Rasheed and Saudi Basic Industries Corp. (SABIC) General Manager (Functional Chemicals) Khalil I. Ibn Salamah.
Al-Mukhaizeem focused on Saudi Aramco's new business development vision, its ambitious targets in the oil and gas support industry, entrepreneurship and supply chain development opportunities and enablers.
"Since the establishment of the company, we have always responded to the changing business environment and provided the required support to develop the local industries," he said. "As a result of Saudi Aramco's efforts, the Kingdom has developed a diverse business and industrial base, including many excellent manufacturers."
Al-Mukhaizeem said Saudi Aramco's goal is to stimulate growth in the local economy.
"Saudi Aramco will facilitate the development of local enterprises and focus on developing the local Saudi content," he said in his well-researched paper. "A new game-changing approach to localization is imperative to reach our local content targets by 2020."
When Ashraf A. Shah, marketing and research manager at Rowad National Plastic Co. Ltd., drew Al-Mukhaizeem's attention to Saudi Aramco role in promoting entrepreneurship during the question-and-answer session, he referred to the creation of a new company called Saudi Aramco Entrepreneurship Center Co. Ltd. or Wa'ed. "This is wholly-owned by Saudi Aramco," said Al-Mukhaizeem. "Wa'ed encourages young Saudis to submit ideas and get support in formalizing the business plans and obtain funding."
According to him, in addition to creating job opportunities for Saudis, the indirect benefits of the entities to be financed by Wa'ed will be significant as well. These projects are expected to promote development, innovation and contribute to the diversity of the national economy.
In his presentation, Ibn Salamah of SABIC focused on the factors that can facilitate growth in the downstream sector and provided some clues on whether there are equal opportunities for foreign companies already operating in the Kingdom.
Abuali of Sadara gave a detailed presentation on his company's development and how its manufacturing units are enabling downstream development in the Kingdom.
At the concluding session, the panelists called for reducing bureaucratic procedures to stimulate downstream industry, good and solid incentives to local and global investors, and a sound strategy to meet all the goals specified during the course of the conference.