Tasnee eyes 1.5m t/yr naphtha cracker by 2014

10 November 2008 05:24  [Source: ICIS news]

By Prema Viswanathan

 

SINGAPORE (ICIS news)--Saudi Arabia’s Tasnee Petrochemicals is looking to set up a 1.5m tonne/year naphtha cracker complex downstream of the proposed Jizan refinery in Saudi Arabia if it wins its bid for a stake in the integrated refinery complex, a source close to the company said on Monday.

 

The refinery will be the first privately owned refinery in the country.

 

The targeted start-up date for the naphtha cracker would be 2013-2014 by when the slew of new Middle East capacities due on stream in 2008-09 would have been digested, the source said.

 

“By 2013, the global economy is also expected to bounce back from its current crisis, and demand growth in the polyolefins sector will be robust once again,” he said.

 

“The product slate currently being studied includes olefins and polyolefins. The refinery, which will have an output of up to 400,000 bbl/day, is also expected to produce around 500,000-600,000 tonnes/year of benzene and xylenes,” the source said. Tasnee was, however, not planning to produce any aromatics derivatives, he added.

 

Tasnee is one of eight Saudi Arabian companies which have put in an expression of interest (EOI) for a stake in the Jizan refinery complex. “The bidding process is expected to be completed by March 2009,” the source said, adding that it was possible that the Ministry of Petroleum would select a couple of bidders to form a joint venture.

 

The company currently operates a 400,000 tonne/year polypropylene (PP) plant at Al Jubail through a joint venture with LyondellBasell and plans to increase that capacity early next year by 250,000 tonnes/year. 

 

Tasnee is also bringing on stream this month a 1m tonne/year cracker complex at Al Jubail through a joint venture with Sahara Petrochemicals and LyondellBasell. 

 

It also became the world’s second largest titanium dioxide (TiO2) player last year through the acquisition of Lyondell’s TiO2 assets.

 

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By: Prema Viswanathan
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