Huntsman, Saudi group to study building ethylene oxide derivatives plant


Huntsman Corp., Salt Lake City, Utah, has entered a memorandum of understanding with Ahmad Hamad Al-Gosaibi & Bros. Group of Saudi Arabia to review the feasibility of building a petrochemical manufacturing facility at Al-Jubail, Saudi Arabia.

Huntsman and the Saudi group have already obtained the industrial license for the project, the royal commission for Jubail has assigned a construction site, and discussions to secure feedstock are in advanced stages, said Huntsman.

The companies expect to complete the feasibility study by mid-2001.

The proposed joint venture will evaluate integrating a manufacturing site with petrochemical production facilities already existing in Al-Jubail Industrial City. The venture will focus on ethylene oxide derivatives, including ethanolamines and ethoxylates for the surfactant industry.

If the review finds the venture feasible, Huntsman would contribute the technology and manufacturing expertise.

Huntsman also said it entered a production joint venture with Saudi International Petrochemical Co. and its partners in Gulf Advanced Chemical Industries Co. Ltd. to construct a $220 million butanediol and maleic anhydride manufacturing facility at Al-Jubail.

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