Three Pillars for
Sustainable Growth
Luberef’s strategy is built around three integrated pillars that guide value-driven investment decisions across the business.
Base Oil Focus
Luberef operates as a pure-play base oil producer, optimizing output and efficiency regardless of fuel market dynamics.
Strategic growth is driven by expanding production of high-value Group III and Group III+ base oils while preserving operational flexibility and presence in Group I markets.
Unique Market Positioning
As the sole producer of virgin base oils in Saudi Arabia, and the only regional supplier positioned to produce all three base oil groups upon completion of the Yanbu Growth II Expansion, Luberef holds a distinctive and strengthening position in the global market.
The Company continues to strengthen its presence in high-netback export markets, particularly in Africa and the Indian subcontinent, supported by its strategic Red Sea location.
Strategic Initiatives
Complementing its core base oil strategy, Luberef pursues targeted initiatives in technology, localization, and sustainability.
In 2025, Luberef integrated GHG Scope 1 and 2 emissions reporting into corporate KPIs, enhancing environmental performance oversight.
Yanbu Growth II
The Yanbu Growth II Expansion is a cornerstone of Luberef’s strategy to enhance operational flexibility. 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.
2025 report outlook · Expected operational H2 2026Explore Growth II