Saudi Arabia’s new butanol plant in Jubail to start up in Q1 2015

18 June 2013 12:17  [Source: ICIS news]

SINGAPORE (ICIS)--Saudi Arabia will have a new butanol plant that will come on stream at Jubail in the first quarter of 2015, Sahara Petrochemicals said late on Monday.

“The design capacity of the butanol plant is 330,000 metric tonnes per annum of n-butanol [NBA] and 11,000 metric tonnes per annum of isobutanol [IBA], which is scheduled to go on stream in the first quarter of 2015,” Sahara said in a filing to the Saudi Stock Exchange.

Sahara owns 43.16% of Saudi Acrylic Acid Company (SAAC), which is a part owner of the project.

The butanol project is a joint venture between Saudi Kayan, Dow Chemical, of the US, and SAAC.

In the same announcement, Sahara Petrochemical said that SAAC has signed a tolling and processing agreement with Sadara Chemical (a joint venture between Saudi Aramco and Dow Chemical), Saudi Kayan Petrochemical Co and Saudi Butanol Co (Sabuco).

Sabuco is a special purpose joint venture company established by Saudi Kayan, Sadara and SAAC for the purposes of owning and funding the new butanol plant.

The toll and processing agreement signed will govern the terms of supply of propylene feedstock into the butanol plant for conversion into butanol products and the corresponding rights of the companies mentioned to offtake the plant’s output, Sahara Petrochemical said.

By: Pearl Bantillo
+65 6780 4359

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