SABIC’s takes $1.15 billon loan for Jubail petrochemical complex
The Saudi Basic Industries Corporation (SABIC) expects to receive a $1.15 billion loan for the construction of a new petrochemical complex in the Jubail Industrial City, for its wholly owned Jubail United Petrochemical Company (JUPC) subsidiary. The make-up of the consortium that will provide the loan is yet to be determined, however, it is expected that both local and international banks will be involved in the transaction.
The giant industrial conglomerate Sabic recently signed a Letter of Intent appointing Fluor Daniel Arabia as the program management services contractor for the new complex. JUPC, one of SABIC’s latest subsidiaries, is expected to commence production in the second half of 2004, with an output capacity of one million metric tons per year (mt/y) of ethylene, 460,000 mt/y of ethylene glycol (EG), 400,000 mt/y of high-density polyethylene (HDPE) and 100,000 mt/y of Linear Alpha Olefins (LAO).
SABIC now accounts for nearly 20 percent of the world’s total EG production and supplies a full range of thermoplastic resins to world markets. These include linear low-density polyethylene (LLDPE), low-density polyethylene (LDPE), HDPE, polyvinyl chloride (PVC), polystyrene, polypropylene and polyesters for textiles, carpets and bottles.
Established in 1976, SABIC has 18 factories throughout the kingdom. It has a paid-up capital exceeding four billion dollars and total assets of more than $21 billion. SABIC’s businesses are organized into five core groups – Basic Chemicals, Intermediate Chemicals, Polymers, Fertilizers and metals. — (menareport.com)
© 2002 Mena Report (www.menareport.com)