National Industries Own Part Of SIPC Not SABIC
Saudi International Petrochemical Company (SIPC) is planning to build an
estimated $800 million complex in Jubail to produce 850,000 metric t/y of
methanol, 50,000 t/y of butanediol (BDO) maleic anhydride (MAN) plants, a
250,000 t/y acetic acid plant and 270,000 t/y vinyl acetate monomer (VAM)
plant. SIPC is in the process of securing financing for this huge project.
Company officials expect that financing for the first phase of the project will
be secured by year-end 2001. Loans for the (BDO) and (MAN) units in Jubail
also have been secured. The estimated costs of the BDO and MAN plants, which
make up the fourth part of the SIPC's Jubail complex, are expected to be around
$200 million. Construction is expected to start early next year on the BDO
unit, which will come on stream in early 2004. UK-based Kvaerner E&C were
appointed as technology licensor for the BDO plant. Jacobs Engineering (US) is
supplying technology for the methanol unit and carbon monoxide plant, Huntsman
(US) is providing the MAN technology and DuPont (US) is the technology supplier
for the VAM unit. The project manager is Fluor Daniel (US), which is also
providing basic engineering, front-end engineering and designs. SIPC is a
consortium of local and Gulf investors including Olayan Financing Co., the A.H.
Al-Zamil Group, Al-Rajhi Group, Al-Tamimi Group, and Al-Jeraisy Group from
Saudi Arabia; Kuwait's National Industries Co., Dubai Investments, Oman's
Al-Zawawi Group and Qatar's Arab International Oil Co.