Strategic Review

As global demand shifts from traditional Group I base oils toward higher-quality Group II and Group III products, Luberef is executing a focused strategy to enhance operational efficiency and upgrade its product portfolio. In parallel, the Company maintains a strategic commitment to supplying Group I base oils for as long as demand persists, leveraging its unique strengths in Group I production.

Once operational in 2026, the project will raise the Yanbu facility’s total capacity to 1.26 million metric tons per year, enabling production of up to 670,000 metric tons of Group III base oils or up to 1,120,000 metric tons of Group II base oils, depending on market demand.

A core element of Luberef’s Vision 2030 alignment is the LubeHub initiative in Yanbu, a purpose-built “Value Cluster Park” designed to create a localized industrial and job-creation cluster adjacent to Luberef’s production assets.

Luberef signed an MOU with Aramco to evaluate establishing a facility for GIII+ production in Jazan.

The Company maintained a Total Recordable Incident Rate (TRIR) of 0.0 for the sixth consecutive year, reaffirming its position as one of the safest base oil producers globally.