SABIC signs MOU for new projects in Jubail

The Saudi Basic Industries Corporation (SABIC) and the Saudi International Petrochemical Company (Sipchem) signed a memorandum of understanding (MoU) for mutual cooperation in the setting-up of new projects in the city of Al-Jubail. The two companies will utilise their existing infrastructure and manufacturing capacity to process Saudi Aramco feedstock allocated by Ministry of Petroleum and Mineral Resources for the new projects. The projects include seven plants with an estimated investment of $3.2 billion (SR 12 billion). SABIC will construct plants to produce 250,000 tonnes of methyl metha acrylate (MMA), 30,000 tonnes of poly methyl metha acrylate (PMMA), 200,000 tonnes of acrylonitrile, 50,000 tonnes of polyacrylonitrile, 50,000 tonnes of polyacetyl resins, 3,000 tonnes of carbon fiber and 40,000 tonnes of sodium cyanide annually. While, Sipchem will build facilities SABIC signs MOU for new projects in Jubail for an estimated cost of $810 million (SR 3 billion) for the production of 125,000 tonnes of poly vinyl acetate and 200,000 tonnes of EVA annually. These plants are expected to go on-stream by mid-2013. The MoU was signed by Mutlaq H. Al-Morished, SABIC Vice President, Corporate Finance, and Ahmad Al-Ohali, Sipchem CEO. According to the MoU, a SABIC manufacturing affiliate will crack the feedstock allocated to Sipchem and also provide it with ethylene. One of Sipchem''s manufacturing companies will supply carbon monoxide to SABIC for the production of MMA. www.sipchem.comBest Seller