Board members of Saudi Aramco, the world’s largest crude oil exporter, visited Hyundai Heavy Industries’ headquarters and S-Oil’s refinery construction site, in Ulsan on Tuesday, according to reports.

The delegation, including Saudi Arabia’s Oil Minister Ali Al-Naimi, Aramco CEO Khalid Al-Falih and nine other members of the board, arrived in Korea on Monday.

During their trip to the world’s largest shipbuilder, they examined its offshore plant construction facilities, an engine factory and an area that commemorates the late Hyundai Group founder Chung Ju-yung. 

The board’s visit to Hyundai Heavy came as the shipping arm of Saudi Arabia’s state oil firm is looking to buy up to 10 tankers ― a large ship designed for transporting liquefied freight ― from the Korean shipbuilder in a deal that could be worth around $1 billion (1.08 trillion won), according to Reuters.

As Saudi Arabia seeks to expand crude exports to Asia, Reuters reported that the National Shipping Company of Saudi Arabia has been planning to build five large crude carriers, plus up to five optional vessels for delivery in 2017. Hyundai Heavy has reportedly been listed as a strong candidate for the deal.

On the same day, the Aramco board members also visited a new refinery complex currently under construction by S-Oil. Saudi Arabia’s state-run oil firm is the majority shareholder of S-Oil, Korea’s No. 3 oil refiner, with a 63.4 percent stake.

S-Oil has invested over 5 trillion won in establishing the new complex. Set for completion in 2017, the facilities will convert heavy fuel oil ― lower in quality than crude oil ― into high-value gasoline and olefins.

After discussing business opportunities with key Korean officials with relations to Saudi Arabia and the oil industry, the delegation is scheduled to conclude their trip with a board meeting at the Grand Hyatt Seoul on Thursday evening.

Saudi Aramco produces around 3.4 billion barrels of crude oil annually and is a major supplier of crude imports to Korea. Around 34 percent of crude oil imports to Korea come from Saudi Arabia, according to the Korea National Oil Corp.

By Sohn Ji-young and news reports (jys@heraldcorp.com)