Correction: In the ICIS news story headlined "Spain's Cepsa, ADNOC mull LAB plant in Abu Dhabi" dated 15 November 2017, please read in the third paragraph that ADNOC is wholly owned by the Abu Dhabi government ... instead of Mubadala. A corrected story follows.
LONDON (ICIS)--Cepsa and the Abu Dhabi National Oil Company (ADNOC) have signed a memorandum of understanding to evaluate a new linear alkyl benzene (LAB) complex in Ruwais, Abu Dhabi, the Spanish energy and petrochemicals major said on Wednesday.
CEPSA’s sole shareholder is Mubadala, the UAE’s sovereign investment fund, while ADNOC is wholly owned by the Abu Dhabi government.
Financial details were not disclosed.
The two companies plan to integrate the facility with the Ruwais refinery complex.
LAB is used in the manufacture of biodegradable household and industrial detergents and is also used in house cleaners, fabric softeners and soap bars.
Cepsa said it expects the LAB market to grow at a compound annual growth rate of 5% between 2016 and 2030.
“ADNOC and Cepsa bring complementary strengths to the project, ADNOC providing resources and expertise in the feedstock area from its state-of-the-art refinery in Ruwais, while Cepsa as a LAB market leader,” said Cepsa CEO Pedro Miro.
“This agreement provides the opportunity to work with Cepsa to identify areas for mutual collaboration that will contribute to our plans to maximise the value from every barrel we produce,” said Abdulaziz Abdulla Alhajri, downstream director of ADNOC.