PetroRabigh extends losses in fourth quarter

21 January 2016

Losses increase five fold as refining and petrochemicals group undergoes shutdown

Saudi group Rabigh Refining & Petrochemical Company (PetroRabigh) extended its net loss five-fold in the fourth quarter of 2015 due to a plant shutdown and lower petrochemicals margins.

The company reported a net loss of SR1.01bn ($267m) for the last three month of 2015 compared with the net loss of SR198m in the same period of 2014.

PetroRabigh, which has operations on Saudi Arabia’s Red Sea coast, said the reason for the loss was due to pre-planned general maintenance during the fourth quarter.

For the full year, the company reported a net loss of SR759m compared with a net profit of SR681m over the 12 months of 2014.

The net loss was driven by the maintenance shutdown “in addition to low petrochemical margins resulted from declining crude prices in 2015”.

“However, this loss has, in part, been mitigated by an improved refinery margin,” PetroRabigh said in a stock market announcement.

PetroRabigh has invited companies to submit bids on its Clean Fuels project. Bid submission is expected in mid-February.

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