* JV partners to combine reception at APPEC this month
* Part of better integration between both companies -sources
* Total, Nigeria to launch new crude during APPEC(Adds comment from S-Oil in 5th paragraph)
By Jessica Jaganathan
SINGAPORE, Sept 5 (Reuters) - Saudi Arabia's state-owned oilgiant Aramco is teaming up with South Korean refiner S-Oil Corpfor a joint reception at this year's Asia PacificPetroleum Conference (APPEC) in Singapore, according to twoindustry sources.
"Having two separate receptions is quite redundant, andconsidering that most of the guests overlap it makes more senseto co-host the party," said one source with direct knowledge ofthe matter who declined to be named.
Aramco became the single largest shareholder of S-Oil inJanuary 2015, part of its drive to expand its footprint in thedownstream petroleum sector and establish commercial offices inglobal oil trading hubs like Singapore.
Aramco did not respond to a request for comment.
An S-Oil spokesman confirmed the joint reception and saidthe South Korean refiner has co-hosted receptions with manyother companies at events for global clients.
Last year, S-Oil and Aramco hosted separate APPEC events.This year's joint reception will be held at the Ritz Carltonhotel on Sept. 25, the second day of the conference.
Aramco traditionally sells most its crude oil underlong-term deals with fixed monthly volumes and prices, but thecompany is in a drive to become more commercially minded, andplans to gradually increase the amount of crude and refinedproducts it freely trades. (Link: https://reut.rs/2PxeyoQ)
Aramco's trading office in Singapore, which opened in 2015but only stepped up hiring in 2017, is its first overseastrading operation. The Singapore office handles physical andderivatives oil trading for its joint venture operations inAsia, which include the partnership with S-Oil and another withJapan's Showa Shell, said a second source.
S-Oil is South Korea's third-biggest refiner, selling fuelslike gasoline, diesel or jet fuel globally. Its main supplier offeedstock crude oil is Saudi Aramco.
Singapore's APPEC, which this year takes place from Sept.24-26, is one of Asia's biggest annual petroleum industrygatherings, during which producers, refiners and merchants signand renew supply deals and exchange information.
In one such event, APPEC will also host a reception byFrench oil major Total, Nigerian National PetroleumCorp and their project partners to launch Egina crude, accordingto a copy of an invitation seen by Reuters.
The Egina field in Nigeria is expected to start productionin December.(Reporting by Jessica Jaganathan; additional reporting by JaneChung in SEOUL; Editing by Henning Gloystein and Tom Hogue)