Revolutionizing the Lubricant Industry: Farabi Downstream Petrochemical Company Signs MoU with Xinxiang Richful Lube Additive Co., Ltd
In a groundbreaking partnership under the patronage of the Ministry of Energy (MoE), Farabi Downstream Petrochemical Company, a FARABI Investment group company, inked a Memorandum of Understanding (MoU) on Feb. 26, 2025 with Xinxiang Richful Lube Additive Co., Ltd, one of the largest Lube components and package manufacturers in China. The purpose of this collaboration is to establish a Joint Venture (JV) focused on manufacturing Lubricant additive components and Packages in the Kingdom.
The JV will see the development of an Integrated State-of-the-art Lubricant Additive Plant in Yanbu, Saudi Arabia, dedicated to producing Lube additive components & Packages that meet global standards.
Richful’s strong market presence and extensive research and development expertise in the lube additives sector, combined with Farabi’s cutting-edge manufacturing facilities in Saudi Arabia and the region, create a strategic partnership poised to drive downstream investments and economic growth in the country.
These collaborative efforts will enhance the value of the Kingdom’s hydrocarbon resources by leveraging local feedstock, innovative technologies, and promoting import substitution through in-Kingdom value addition.
The JV will focus on manufacturing Lube additive packages, integrating with lubricant component production like lubricant Detergents, Dispersants, ZDDPs, antioxidants, among others. This initiative will cater to the expanding automobile industry, industrial lubricant sector, and marine oil industry, establishing the first full-fledged Lube additive complex in Saudi Arabia.
