Sabic and Shell are expanding their Saudi Petrochemical Company (Sadaf) joint venture and are also looking to expand their partnership beyond Saudi Arabia.
Both parties are developing a range of polyols and styrene monomer propylene oxide (SMPO) plants at the existing Sadaf site, which is located in the Al Jubail industrial zone on Saudi Arabia’s eastern coast. The proposed polyols and SMPO plants would be the first of their kind in the Middle East.
Mohamed Al-Mady, Sabic vice-chairman and CEO, said: “We are pleased to be deepening our partnership with Shell. This investment will respond to demands for solutions from our global customer base. These sectors include building and construction, automotive and transportation, furniture and bedding, sports goods, food packaging, cold chain and refrigeration, and home appliances industries.
“Our polyurethane solutions will offer strength and flexibility, variable rigidity and insulation properties in a wide range of applications.”
Ben van Beurden, executive vice-president for Shell Chemicals, added, “The proposed SMPO and polyols plants will help strengthen Shell’s global propylene oxide and polyols manufacturing capacity, boosting our supply to customers worldwide.”