Saudi Aramco Base Oil Company (Luberef), a leading global base oils company, announced the successful completion of scheduled periodic maintenance at its industrial facility in Yanbu Industrial City. The company described the operation as the largest in its history, carried out to the highest safety and quality standards, reflecting its commitment to operational excellence and asset sustainability.
In an official statement published on the Saudi Stock Exchange website “Tadawul”, the company explained that the maintenance work took the period specified previously, as it started on November 15, 2025 and ended on December 31, 2025. The company confirmed that the reactivation of the facility has actually started according to the planned schedule, with the beginning of the new year on January 1, 2026, which bodes well for a promising year of operation.
Enhancing operational efficiency and reliability
Luberef reported that the scheduled shutdown saw the precise execution of all planned engineering and technical work. A key component of this work was the replacement of catalysts in several critical units within the facility. This step is of significant technical importance, as catalysts play a pivotal role in refining processes and improving the quality of final products. This will directly contribute to increased operational efficiency, enhanced asset reliability in the long term, and support the company's ambitious strategic plans to increase production capacity and improve profit margins.
Strategic and economic importance
This shutdown, which the company described as a pivotal event, is a key part of Luberef's expansion strategy. The company's facilities in Yanbu and Jeddah are a cornerstone of the regional and global base oil supply chain, producing Class I and II base oils. This type of periodic maintenance ensures the continued and efficient flow of products to global and local markets, reinforcing Saudi Arabia's position as a global energy and downstream hub, in line with the Kingdom's Vision 2030 goals of maximizing the added value of hydrocarbon resources.
Expected financial impact
Regarding the financial impact, the company expects that the effect of this scheduled shutdown will be reflected in the financial results for the fourth quarter of 2025. It is known in the industrial sector that major maintenance operations (turnaround) require capital investments and lead to a temporary halt in production, but their returns are clearly evident in subsequent periods through improved operational efficiency and reduced unscheduled costs, which supports the company's financial position in the future.
