Construction completed at $3.4bn SABIC Kemya plant
Full operations at the joint venture Jubail facility will begin in the second quarter of 2016, SABIC said in a Tadawul filing
Saudi Basic Industries Corp (SABIC) announced commissioning is set to commence at parts of its affiliate’s elastomers facility, Kemya Complex, following the completion of construction and mechanical works.
Full commercial operations at the Al-Jubail Petrochemical Company (Kemya), a 50-50 joint venture between SABIC and Exxon Chemical Arabia, could start in the second quarter of 2016, SABIC said in a Tadawul filing.
The Kemya project is worth $3.4bn (SAR12.7bn), the filing continued.
SABIC announced on Tadawul in 2012 that it had awarded construction contracts for the project to Daelim Industries, Technip, and Tecnicas Reunidas.
The firms were to handle the engineering, procurement, and construction of plants at Kemya Complex.
The project also includes the construction of the High Institute for Elastomer Industries in Yanbu, product application development and support center in Riyadh, a facility for the production of polyolefin thermoplastics compounds, and a local inventory management center in Jubail Industrial City.
Kemya Complex is expected to establish a supply of more than 400,000 metric tons of rubber (butyl, styrene butadiene rubber (SBR), butadiene rubber and EPDM), thermoplastic specialty polymers, and carbon black.
SABIC said the financial impact of the plant will reflect in its results once commissioning has started.