Saudi Arabian Oil Co. closed the previously announced US$1.2 billion acquisition of a 17% minority stake in Hyundai Heavy Industries Holdings unit Hyundai Oilbank Co. Ltd.

The deal was completed through Saudi Arabian Oil, or Saudi Aramco, subsidiary Aramco Overseas Co. BV following the receipt of necessary approvals, according to a Dec. 17 release.

According to Saudi Aramco, the deal is in line with its downstream growth strategy, which involves expanding globally in integrated refining, chemicals and marketing businesses.

Hyundai Oilbank owns the Daesan Complex, an integrated refining plant in South Korea with a capacity of 650,000 barrels per day. In late June, the South Korean refiner entered into two long-term crude oil supply deals with Saudi Aramco and its Saudi Aramco Products Trading Co. unit.