Saudi Arabia: oil and petrochemicals

This file concerns the oil and petrochemicals industries in Saudi Arabia. It contains correspondence on:

• A paper from the National Economic Development Office (NEDO) on the petrochemical sector
• The meetings of British Embassy officials with various Saudi ministers, including the Saudi Minister of Petroleum and Mineral Resources Sheikh Ahmad Zaki Yamani, regarding oil production rates
• The decision not to list petrochemicals under the European Commission's (EC) Generalised Scheme of Preferences (GSP), which results in tariffs being imposed on petrochemicals. It includes the divisions in Europe over this issue, Saudi Arabia's protests, and negotiations between the two sides
• Saudi press interest in the petrochemical negotiations with Europe
• Meetings with oil industry representatives, including from Shell, Exxon, and BP over petrochemicals and European-Saudi relations
• The intention of the UAE Minister of Oil Dr Mana Al Otaiba to lower the price of Abu Dhabi crude oil
• The proposal by the British National Oil Company (BNOC) to cut its oil prices, and Saudi protests against this move
• The visits of Sheikh Yamani to Australia and Norway
• The analysis by HMG of the place of petrochemicals within Saudi Arabia's export mix
• The intention of members of the Saudi Arabian Chamber of Commerce and Saudi Basic Industries Corporation (SABIC) to visit the UK for talks
• The visit of the UK Minister for Trade Paul Channon to Saudi Arabia to discuss petrochemicals
• The exploratory talks between the EC and the Gulf Cooperation Council (GCC) in Bahrain over petrochemicals.