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Product category: Oil, Gas, Petrochemical Industry News
News Release from: SABIC
Edited by the Processingtalk Editorial Team on 13 October 2003

Sabic plans to build second ethylene
glycol plant

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Saudi Basic Industries Corporation will construct a new Ethylene Glycol plant at Jubail United Petrochemical Company, as part of the corporate goal to become the world's leading supplier of EG by 2006

at Jubail United Sabic aims to become the world's leading supplier of EG by 2006; Saudi Basic Industries Corporation (SABIC) today announced plans to construct a new Ethylene Glycol (EG) plant at Jubail United Petrochemical Company (United) This, the seventh Sabic EG plant, will have an annual capacity of 625,000 mt

The plant is expected to go on stream by the end of 2005, and will be the second EG plant at United, adding to the existing 575,000 mt/y EG plant that is currently under construction.

The plant will use new technology from the US based Scientific Design Company - Sabic and Sud-Chemie manage Scientific Design through a 50:50 joint venture.

Ethylene and oxygen feedstock for the new plant will be provided by other Sabic companies - oxygen from its Gas affiliate; and Ethylene from United and Petrokemya (the Arabian Petrochemical Company).

The new plant will boost the Sabic position as a leading global producer of EG, and help enhance the company's competitive reach both worldwide and in the Middle East.

By 2006, the Sabic total EG production will reach 3.5 million mt/y - meeting over 20% of global demand.

Of this, 1.5 million mt will be produced at Sharq (Eastern Petrochemical Company, Al-Jubail); 1.2 million mt at United (Jubail United Petrochemical Company); 800,000 mt at Yanpet (Saudi-Yanbu Petrochemical Company, Yanbu).

Ethylene Glycol is the primary feedstock for polyester manufacturing.

It is used in anti-freeze, marine engines, x-rays and luggage.

The contract for construction of the new plant has not yet been awarded.

The successful supplier will be announced later this year.

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