Executing with discipline, building capacity, and driving shareholder value.
| Metric | Value |
|---|---|
| EBITDA | SAR 1,148 million |
| ROACE | 21% |
Dear Shareholders,
2025 was a pivotal year for Luberef. One focused on preparing for future growth while delivering resilient performance, underscored by an EBITDA of SAR 1,148 million. This reflects the strength and stability of our core operations despite market volatility.
This year included major planned activities, most notably the full turnaround of our Yanbu refinery and a catalyst replacement, both essential to supporting our long-term expansion plans.
Through disciplined execution, strong cost and logistics management, and an unwavering commitment to safe and reliable operations, Luberef delivered consistent performance even in a demanding environment.
Building the Next Phase of Growth
Several milestones in 2025 underscored our progress in executing our long-term strategy. During the year, we advanced in a collaborative project with Aramco aimed at integrating Luberef Group III products into the prestigious aramcoULTRA® base oil slate. This strategic initiative strengthens our global positioning and enhances product competitiveness.
In parallel, we also made significant progress in advancing our plans to extend operations in Jeddah, supported by the endorsement of the Ministry of Energy. We are now in discussions with designated parties to ensure the long-term continuity and optimization of the facility. The continued operation of the Jeddah site will strengthen the diversity of Luberef’s asset base, enhance our geographical reach, and support a more balanced sales footprint.
The Growth II project advanced steadily toward its construction and commissioning stages. Once operational in 2026, it will enable Luberef to further diversify its production of high-value base oils, enhancing our ability to meet a broad spectrum of customer needs across automotive, industrial, and specialty segments. Upon completion, the project will position Luberef as the region’s first producer capable of supplying the full range of Group I, II, and III base oils, offering customers a complete and integrated solutions portfolio.
With a focus on next generation lubricants, we have taken steps towards the next wave of growth, GIII+, that support advanced applications and lower emissions. Luberef is also exploring new technologies to strengthen product performance and expand OEM approvals, ensuring our products meet the highest global standards and capture emerging opportunities in a rapidly evolving market.
Downstream Excellence
Our cost optimization program delivered tangible results through multiple contracts of affreightment and improved logistics efficiency, reinforcing our commitment to operational excellence and disciplined cost management.
Downstream integration continues to progress through the LubeHub initiative in Yanbu. This industrial cluster is attracting local and international partners, creating a foundation for lubricant blending, specialty chemicals, and support services. Our partnership with APAR Industries is a key example of this progress. Together, these collaborations are helping to localize value chains, create jobs, and contribute to Saudi Arabia’s broader industrial goals.
People and Sustainability
Our people remain the driving force behind Luberef’s success. In 2025, we strengthened this foundation by expanding development programs across our operations and projects, reinforcing a culture of learning, collaboration, and accountability. Open communication and recognition continued to engage our teams and inspire them to deliver safe, high-quality performance across all facilities.
Sustainability also remained central to our progress. Luberef maintained a Total Recordable Incident Rate of zero for the sixth consecutive year and mechanical availability of 99.1 percent, reflecting our strong safety culture and disciplined operations. Our continued efforts were recognized externally through the Silver Award for Corporate Social Responsibility from the Ministry of Human Resources and Social Development for the second consecutive year, a testament to our role as a responsible operator and contributor to national development.
Advancing Forward Together
As we move into 2026, our focus remains on completing Growth II safely and further optimizing our asset base to enhance flexibility, efficiency, and scale. We will continue to increase local content by supporting domestic suppliers and downstream partners, strengthening Luberef’s role in the Kingdom’s industrial development. At the same time, we will pursue new growth opportunities and leverage advanced technologies to enhance our product offering, while directing our portfolio toward high netback markets to sustain strong margins and long-term competitiveness.
I would like to express my sincere appreciation to our employees for their commitment and professionalism, particularly during this important phase of growth. My thanks also go to the Board of Directors for their continued guidance. Together, we are building on Luberef’s solid foundations and advancing confidently toward a future defined by reliability, innovation, and sustainable growth.
Samer A. Al Hokail President & Chief Executive Officer