Saudi Petro Rabigh cracker runs at 100% after recent outage

08 October 2013 09:52  [Source: ICIS news]

DUBAI (ICIS)--Petro Rabigh has resumed full production at the basic units of its refinery and petrochemical complex in Saudi Arabia, including the ethane cracker, the company said in a bourse filing late on Monday.

The company, a joint venture between Saudi Aramco and Japan’s Sumitomo Chemical, was forced to halt operations at the Rabigh site following a power outage on September 11.

Power supply was restored on September 15, following which all basic units of the complex, including the ethane cracker unit started operations though with a limited production capacity of 60 million cubic feet per day. 

“Full production, including ethane cracker at its full capacity (95 million cubic feet per day), has been resumed on Sunday October 6,” Petro Rabigh said.

The Petro Rabigh complex on the Red Sea houses a 400,000 bbl/day refinery, a 1.3m tonne/year ethane cracker, a 300,000 tonne/year high density polyethylene (HDPE) plant, a 600,000 tonne/year linear low density PE (LLDPE) plant, a 700,000 tonne/year polypropylene (PP) plant, and a 600,000 tonne/year monoethylene glycol (MEG) plant, according to ICIS data.

Following the power outage, Petro Rabigh also sent a notice to Rabigh Arabian Water and Electricity Co (RAWEC) to terminate the water and energy conversion agreement signed between the two parties.

The notice also demanded to initiate the process of transferring the ownership of the assets of RAWEC to Petro Rabigh. This would enable Petro Rabigh to manage the power, steam and the rest of RAWEC’s current facilities. 

In addition, Petro Rabigh sent other notices to RAWEC to demand direct compensation for Saudi riyal (SR) 187.5m ($50m) in estimated damages caused by two incidents of power cuts in 2013.

($1 = SR3.75)

By: Aamir Ashraf

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