Saudi Arabian state-owned Aramco wants expand its position on the Asian oil market. The company is thus acquiring one-fifth of Hyundai Oilbank, the refinery division of Hyundai Heavy Industries, for up to USD 1.6 billion.

This is according to Hyundai Heavy in a press release Monday, according to Financial Times.

Aramco is already engaged in the South Korean petroleum company. The oil company owns just two-third of the assets in the third-largest South Korean refinery, S-Oil Corp. The purchase offer is in accordance with the company's intention, as announced last year, of expanding its market share in Asia, which in addition to South Korea applies to China, India, Malaysia and Indonesia.

Saudi Aramco is currently the largest supplier to South Korea, which is the world's fifth-largest oil importer. Last year, South Korea imported 885,408 barrels of oil equivalents daily from Saudi Arabia.

English Edit: Lena Rutkowski

Saudi Arabia forecasts oil price at USD 80 

Saudis boost oil reserves ahead of Aramco's planned IPO