Sabic, Shell to Expand Sadaf Joint Venture

Saudi Basic Industries Corporation (SABIC) and Shell announced today that they are progressing plans for the expansion of various projects at the Saudi Petrochemical Company (Sadaf). The joint venture partners are also looking to expand their partnership beyond Saudi Arabia.

Both parties are developing a full range of polyols (a polyurethane building block) and styrene monomer propylene oxide (SMPO) plants at the existing Sadaf site, which is located in one of the world's largest and most competitive petrochemical complexes - the Al Jubail industrial zone on Saudi Arabia's eastern coast. SABIC and Shell will jointly conduct the necessary studies to implement the project.

The proposed full range of polyols and SMPO plants would be the first of their kind in the Middle East. The assets would employ Shell's proprietary polyols and SMPO technologies to produce chemical building blocks for the polyurethanes industry and petrochemicals sector in the Middle East and beyond. The partners are committed to the polyurethanes, styrene, propylene oxide and derivatives sectors, and have access to leading technologies as major international suppliers.

Developing the polyurethane sector in Saudi Arabia will contribute to necessary energy savings and create job opportunities for the growing skilled workforce.