Following the conclusion of a feedstock supply agreement in May 2016, Saudi companies Maydan Industry for Industrial Development & Investments, Ahmed Kassim Al-Amoudi Group and South Korean technology company SFC have signed a joint venture agreement to form the Surfactant Detergent Company (SDC), according to the Saudi Gazette newspaper.

The jv will build a surfactants plant in PlasChem Park, the chemicals and plastics processing industrial park situated next to the Sadara complex of Dow Chemical and Saudi Aramco, which will supply ethylene oxide and propylene oxide feedstocks through newly built dedicated pipelines. SDC will be one of the first projects to break ground in the park.

According to Maydan Industry’s chairman, Abdulrahman Al-Swailem, about 189 million Saudi Riyal ($50 million) will be invested in the plant, which is expected to have a capacity of 40,000 t/y. The facility will produce a range of surfactants that will meet both local and regional market needs.

SFC’s CEO, Hong Junko, said work on the project has started, and senior engineers are preparing the final designs, which will be followed by construction. A start-up date for the plant has not been given.