Oil & Energy
US-Saudi Consortium Nears Site Selection for Proposed $5 Billion Refinery Project
Mera Oil, a US-Saudi Arabia consortium of three investors, has now launched and is in the advanced stages of finalizing a host for its proposed $5 billion integrated refinery and energy export corridor, according to a statement on Wednesday.The consortium, which includes Texas-based energy development company MWG Enterprises, the Patel Family Office, and Saudi-based AHQ Group associate company PWS, has shortlisted three Gulf Cooperation Council sites outside the Strait of Hormuz and expects to confirm a host by the end of this year.However, it is open to proposals from another qualifying GCC jurisdiction before it announces its decision.Mera Oil intends to develop a 200,000-barrel-per-day integrated refinery which is connected with deepwater port infrastructure, large-scale crude and refined products storage, and marine export facilities.Phase one of the project targets an energy complex with energy-efficient refining technologies and advanced emissions control systems, with sustainable aviation fuel co-processing and carbon management capabilities also being considered."The product slate is focused on high-specification middle distillates, including ultra-low sulphur diesel and jet fuel, for selected import-dependent markets in the United States, the Atlantic Basin, the Gulf region and other international markets, subject to final engineering and offtake arrangements," the statement said.The project is expected to span across 1,200-1,500 acres of port-connected industrial land. Once the site is confirmed, it is expected to enter final site diligence and engineering design, with the first phase scheduled to be mechanically complete by the end of 2029, followed by commissioning and the start of commercial operations.The consortium is in talks with feedstock providers, including those beyond the GCC, with final arrangements expected to progress alongside the final host selection, the statement said.