In a move intended to accelerate Saudi Arabia’s leadership in downstream innovation, Aramco, Honeywell (Nasdaq: HON), and King Abdullah University of Science and Technology (KAUST) have signed a Joint Development Agreement (JDA) to co-develop a next-generation direct Crude-to-Chemicals (CTC) technology. 

The collaboration will focus on developing and scaling up the full CTC process. This initiative aims to significantly reduce both capital and operating costs associated with CTC conversion. 

The new CTC pathway is designed to extract significant value from each barrel of crude oil by converting it directly into light olefins and other high-demand chemicals. The innovative CTC process concept is expected to improve fuel efficiency, carbon utilization, and process economics—allowing for more efficient and cost-effective production at scale. 

The collaboration supports Saudi Arabia’s Vision 2030 by helping to advance economic diversification, build national research and technology capabilities, and strengthen the Kingdom’s position across the petrochemicals industry. It represents a strategic alignment among industrial know-how, academic excellence, and market ambition — delivering a platform for high-impact innovation. 

Dr. Ali A. Al-Meshari, Aramco Senior Vice President of Technology Oversight & Coordination, said: “This collaboration with Honeywell UOP and KAUST furthers Aramco's efforts to drive innovation and shape the future of petrochemicals. By harnessing the power of cutting-edge technologies, we aim to enhance energy efficiency and unlock increased value from every barrel of crude. This novel Crude-to-Chemicals process is aligned with our vision of supporting the global transition towards cleaner, high-performance chemical production. Moreover, this initiative demonstrates our focus on contributing to the growth of a vibrant ecosystem, where the deployment of innovative technologies can create lasting value for our stakeholders, our communities, and the environment.” 

Read more at KAUST News.