Luberef (Saudi Aramco Base Oil Company), SA15M1HH2NH5

Luberef stock: Yanbu shutdown pushed into first half of 2027

Published on 11/12/2026 at 00:40 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWS

Luberef stock faces a later Growth II shutdown as Yanbu keeps running through year-end. New Group III output will follow the outage.

What Luberef's delay means

The Yanbu shutdown linked to Growth II has moved to the first half of 2027.
Third-quarter operating profit rose 83 percent year over year despite lower sales volumes.
New Group III production will begin only after the shutdown, extending the wait for additional supply.

Luberef (Saudi Aramco Base Oil Company), SA15M1HH2NH5, Illustration mit AI erstellt.

Saudi Aramco Base Oil Company has moved the planned shutdown at its Yanbu refinery to the first half of 2027, Base Oil News reported on November 9. The work was previously expected in October and will now be combined with another planned shutdown in 2027.

Growth II timing shifts

The revised schedule keeps the Yanbu plant operating through the fourth quarter while base-oil margins remain strong. Luberef said the shutdown is required for its Growth II expansion, which is intended to raise Yanbu capacity to about 1.3 million metric tonnes per year and add flexibility for Group III production.

New Group III output will start only after the outage. That leaves buyers waiting longer for additional regional supply, while the company says the project will need time to reach nameplate capacity after the first commercial batches.

Higher profit, lower volumes

Luberef's third-quarter operating profit reached SAR 534.9 million, up 83 percent from a year earlier but below the SAR 748.5 million recorded in the second quarter. Sales volumes fell to 241,000 tonnes from 313,000 tonnes in the second quarter, as longer shipping routes and a change in feedstock quality affected deliveries and yields.

The company lowered its 2026 sales forecast to 1.04 million tonnes from 1.15 million tonnes. The revised outlook implies fourth-quarter sales of about 247,000 tonnes, according to Base Oil News.

Share price and investor view

Saudi Aramco Base Oil Company stock traded at SAR 110.70 at 3:14 p.m. AST on Wednesday, November 11, 2026. The delayed shutdown preserves near-term production, but it also postpones the capacity and product-mix benefits expected from Growth II.

Base oils across global markets

Luberef produces Group I and Group II base oils as well as asphalt, marine heavy fuel oil, slack wax, bright stock extract, sulfur, ultra-low sulfur diesel, naphtha and drilling fluid. The company operates facilities in Yanbu and Jeddah, sells mainly in Saudi Arabia, the Middle East, North Africa and India, and also serves customers in Asia, the Americas and Europe.

With annual production capacity of about 1.3 million metric tonnes, Luberef describes itself as one of the world's largest base-oil producers and Saudi Arabia's leading producer. Its specialized base-oil focus distinguishes it from broader energy and chemicals companies, although the company profile does not identify specific named competitors.