SAUDIS TO BOOST PETROCHEM PRODUCTION

Saudi European Petrochemical Co. (lbn Zahr) has scheduled a big jump in petrochemical production at AlJubail, Saudi Arabia. The combine of Saudi Basic Industries Corp. (Sabic) and three partners signed two contracts calling for construction of a 200,000 metric ton/year polypropylene plant and a 700,000 metric ton/year methyl tertiary butyl ether (MTBE) plant. Start-ups are scheduled during the next 2 years or so. The polypropylene plant, using Union Carbide's Unipol technology, will be

July 1, 1991

2 min read

Saudi European Petrochemical Co. (lbn Zahr) has scheduled a big jump in petrochemical production at AlJubail, Saudi Arabia.

The combine of Saudi Basic Industries Corp. (Sabic) and three partners signed two contracts calling for construction of a 200,000 metric ton/year polypropylene plant and a 700,000 metric ton/year methyl tertiary butyl ether (MTBE) plant. Start-ups are scheduled during the next 2 years or so.

The polypropylene plant, using Union Carbide's Unipol technology, will be equal in size to the current largest Unipol polypropylene plant now operating, in South Korea.

The MTBE plant will more than double lbn Zahr's production of the gasoline octane booster to 1.2 million metric tons/year from the present 500,000 metric tons/year.

John Brown Engineering & Construction Ltd. will build the polypropylene plant, scheduled to go on stream in third quarter 1993. Snamprogetti holds the construction contract for the MTBE unit, slated for start-up in fourth quarter 1993.

With introduction of polypropylene manufacturing by lbn Zahr, Sabic will produce all major thermoplastic resins. Sabic currently produces polyethylene, polyvinyl chloride, and polystyrene for domestic use and exports (OGJ, Jan. 7, p. 19).

lbn Zahr is a joint venture of Sabic, which holds a 70% share. Its partners are Arab Petroleum Investment Corp. (Apicorp), Italy's Ecofuel, and Finland's Neste Oy with 10% each.