Sabic confirms plans for new cracker at Yanbu

14 November 2000 20:20  [Source: ICIS news]

AL-JUBAIL, Saudi Arabia (CNI)--Plans by Saudi Basic Industries Corp (Sabic) to build a new ethane cracker at Yanbu on the Red Sea coast were confirmed here Tuesday by vice chairman and managing director Mohamed Al-Mady.

He said ethane for the cracker, which will have a capacity of at least 800 000 tonne/year, is expected to be provided by Saudi Aramco.

Al-Mady said that if feedstock commitments were received soon the project should be completed around 2004.

He put the likely capital cost at "not less than $400m (Euro465m) without downstream facilities."

Although Sabic/ExxonMobil joint venture Yanpet has openly expressed an interest in building a third cracker at Yanbu, Al-Mady said the new cracker would be a Sabic project.

"I have had no request from Yanpet for a cracker," he said.

Al-Mady also appeared to cast doubt on reported plans by Sabic affiliate Petrokemya to build a new cracker here on Saudi Arabia's east coast. While confirming plans to proceed with Sabic's Jubail United cracker complex, he said he was unaware of any plans for a new Petrokemya cracker.

By: Neil Sinclair
+44 20 8652 3214

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