From combined reports

HOUSTON — Motiva Enterprises LLC signed memorandums of understanding with TechnipFMC and Honeywell UOP to study potential petrochemical projects utilizing each companies’ technology.

If executed, the projects represent multi-billion-dollar investments in the U.S., the company said in an issued statement Saturday.

The signing ceremony coincided with the visit to the U.S. by Crown Prince Mohammed bin Salman.

“These agreements signal our plans for expansion into petrochemicals,” Brian Coffman, president and CEO of Motiva, said. “We are excited to work more closely with these leaders in the industry to further assess our opportunities for investment.”

One of the MOUs paves the way to evaluate the use of TechnipFMC’s world scale mixed-feed ethylene production technologies in the U.S. The second MOU enables Motiva to examine the use of Honeywell UOP’s world-scale aromatics extraction and production technologies for benzene and paraxylene for development of a potential Gulf Coast complex.

The MOUs are a first step in Motiva’s expansion into petrochemicals. Final investment decisions on these projects are not expected until 2019.

In his first appearance in Port Arthur on Jan. 24, Coffman signaled that Motiva might be expanding into petrochemicals. Speaking to the Greater Port Arthur Chamber of Commerce annual banquet, he said demand for refined gasoline was not growing as rapidly as the demand for petrochemicals, and because of untapped feedstock advantages in Texas, the preference would be to locate a petrochemical business at the Port Arthur refinery.

Aramco has no chemical portfolio in North America and Port Arthur “could address a market need,” he said.