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Saudi Kayan Signs Contracts For New PP And LDPE Plants

Source: www.gulfoilandgas.com 2/5/2007, Location: Middle East

SABIC affiliate,SAUDI KAYAN signed Letters of Award with two companies on January 24, 2007 for the construction of new Polypropylene (PP) and Low Density Polyethylene (LDPE) plants at its complex in Al-Jubail Industrial City.

One contract was signed with Samsung Engineering for the construction of a 350 KTA PP plant and the other with Simon Carves Limited for a 300 KTA LDPE plant.

SAUDI KAYAN is currently under construction. SABIC holds 35 percent of the company’s capital of SR 15 billion and Kayan Petrochemical Company holds 20 percent. The remaining 45 percent will be offered for public subscription.

The company’s complex at Al-Jubail Industrial City is expected to go live in 2009 with an annual capacity exceeding 4 million tons of chemical products. It will add some specialized chemicals to the Saudi marketplace that will be produced in Saudi Arabia for the first time. These products include aminoethanols, aminomethyls, and polycarbonate. This is in addition to ethylene, propylene, polypropylene, ethylene glycol, polyethylene and other products which will provide wide opportunities for downstream industries.

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