Aramco/Dow JV to market Sadara products

Geographic expansion will target Middle East and Saudi Arabia

The Dow Chemical and Saudi Aramco JV, Sadara Chemical Company, is to construct a new plant, comprising 26 manufacturing units, that will produce more than 3 million metric tons of high-value performance plastics and specialty chemical products, that will be marketed by Dow across the Middle East.

The JV, Sadara Chemical Company, specilaises in high performance plastics and speciality chemical products, which it already sells across Asia Pacific, Central and Eastern Europe. The support from Dow will see its products introduced to the Middle East, particularly Saudi Arabia

Dow will market and sell from several major product families produced by Sadara’s state-of-the-art world-scale operations. These products will be manufactured utilizing several of Dow’s industry-leading technologies, and made to Dow’s stringent quality specifications, said the company.

“This marketing agreement represents another significant step towards Dow’s ever-expanding global reach, advancing our transformation as we grow with customers locally and globally,” said Andrew N. Liveris, Dow’s chairman and chief executive officer.

“This project – the largest of its kind ever built in a single phase – will literally transform our industry and the petrochemical sector in Saudi Arabia by creating an advanced manufacturing hub that provides a differentiated product slate from a competitive, low-cost position.”

Products produced at the plant will include: Polyurethanes, Propylene Glycol, Butyl Glycol Ethers, Amines, Polyethylene and  Polyolefin Elastomers.

Sadara’s first production units will come on-line in 2015, with the rest following in 2016; it is projected the plant will deliver annual revenues of approximately $10 billion and will featre cracking capabilities.  The joint venture will also generate direct and indirect jobs.


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