SABIC and SK Global Chemical partner on PE
Saudi Petrochemical giant Sabic and Korean petrochemical producer SK Global Chemical have agreed to establish a $595 million, 50:50 manufacturing joint venture for high-performance polyethylene products based on SK Global's Nexlene metallocene technology for LLDPE.
Based in Singapore, the jv will operate a series of manufacturing plants, including a 230,000 t/y unit recently completed by SK Global at its complex in Ulsan, South Korea. A second facility will be built in Saudi Arabia. More plants are planned to be built worldwide at a later date.
Sabic said the PE, polyolefin plastomers and polyolefin elastomers produced by the joint company will meet the growing needs of diverse industries such as advanced packaging, automotive, healthcare, footwear, and electrical and lighting and assure better performance, processibility, and final product properties.
"Nexlene will serve as a growth engine for both of our companies," said Cha Hwa Youp, SK Global's CEO. He said the jv will continue to upgrade Nexlene technology.
This is Sabic's second investment in Asia. In China, it has a 50:50 joint venture with Sinopec, Sabic Tianjin Petrochemical Company, producing 260,000 t/y of polycarbonate.
