The world’s largest crude oil producer Saudi Aramco will hold its annual board of directors meeting in Seoul on Thursday.

According to S-Oil, Saudi Aramco chief executive Khalid A. Al-Falih came to Korea on a five-day trip on Monday, during which he will attend the board meeting.

The Saudi state-owned firm produces about 3.4 billion barrels of oil on an annual basis, and supplies about 30 percent of South Korea’s crude oil imports.

Holding 35 percent of S-Oil, Saudi Aramco is also the largest shareholder of the Korea-based refiner.

In a meeting with local business leaders on Tuesday, the Aramco CEO asked South Korean companies to participate actively in its domestic and overseas project, in which it will spend $125 billion over the next five years.

“Saudi Aramco’s capital program holds tremendous potential for Korean companies which can meet our standards and deliver on our expectations,” the Yonhap news agency quoted CEO Al-Falih as saying.

Aside from Thursday’s board meeting, the Saudi Aramco chief executive will also attend other events including the opening of an exhibition hall during his stay, but they will be private functions, an S-Oil official said.

In a separate event on Tuesday, Saudi Aramco signed a memorandum of understanding with the Korea Trade Insurance Corp. regarding collaboration in project financing.

Having signed the MOU with Saudi Aramco, the Korea Trade Insurance Corp. plans to increase financial support measures for local firms conducting construction projects in Saudi Arabia.

According to the Korea Trade Insurance Corp., project financing has become a key factor in successfully conducting large-scale construction projects in recent years, and its MOU with Saudi Aramco will lead to more opportunities for Korean firms to take part in projects contracted by the Saudi oil producer.

By Choi He-suk  (cheesuk@heraldcorp.com)