Saudi Basic Industries Corporation (SABIC) and affiliates of ExxonMobil
announced today they will construct a world-scale specialty elastomers
facility at the Al-Jubail Petrochemical Company (Kemya) manufacturing
joint venture.
The facility will be integrated with the existing Jubail complex and is
expected to be completed in 2015. The companies have approved the next
stage of project development -- engineering, procurement and
construction (EPC).
The facility will have the capacity to produce up to 400,000 tonnes per
year of rubber -- including halobutyl, styrene butadiene, polybutadiene,
and ethylene propylene diene monomer (EPDM) rubbers -- thermoplastic
specialty polymers, and carbon black to serve local markets, the Middle
East and Asia. Kemya has awarded the EPC contract for the elastomers
facility to Technip, Tecnicas Reunidas and Daelim.
Kemya is a 50-50 joint venture between SABIC and Exxon Chemical Arabia
Inc., an affiliate of ExxonMobil
Chemical Company. The two companies have collaborated closely since
1980 when they established the joint venture, which produces
polyethylene, ethylene, and propylene. The new synthetic rubber project
represents a significant broadening of Kemya’s product portfolio.
Associated with the new Kemya elastomers facility is the establishment
of the High Institute for Elastomer Industries (HIEI), a vocational
training center in Yanbu; a product application center in Riyadh; and
thermoplastic polyolefin compounding and inventory management facilities
in Jubail. The facilities are aligned with Saudi Arabia’s national
industrial clusters development program to expand and diversify its
manufacturing sector. The HIEI will employ Saudis as instructors to
deliver innovative polymer science education programs developed at the
University of Akron Research Foundation, in Ohio, USA, to train Saudis
for the Kingdom’s developing elastomers conversion industry.
Mohamed Al-Mady, SABIC Vice Chairman and CEO, said, “The Kemya
elastomers facility demonstrates our commitment to build and champion a
first-rate rubber industry in Saudi Arabia that supports job creation,
develops downstream industries and helps diversify the national economy.
The strategic partnership between SABIC and ExxonMobil provides the
strength of industry-leading competitive assets, introduces new
specialty products to the Kingdom and offers global marketing and supply
capability of exceptional quality. We will provide the building blocks
for our customers to successfully compete on a domestic and
international scale in markets for a wide range of applications.”
“ExxonMobil is proud to be a leading foreign investor in, and customer
of, the Kingdom of Saudi Arabia,” said Steve Pryor, president of
ExxonMobil Chemical Company. “This first-of-its-kind elastomers facility
in the Kingdom creates a platform that will support the development of a
rubber industry, which is designed to produce a broad range of consumer
products.”
An expanding transportation infrastructure in the Middle East and Asia
Pacific has created strong demand for rubber products. The new
world-scale Kemya elastomers project will help meet this ever-growing
demand. The facility will rely on commercially competitive, high-impact
technologies, including proprietary ExxonMobil EPDM, thermoplastic
specialty polymers, and halobutyl rubber technologies.
“The expansion will employ the latest proprietary processes and product
technologies to meet the growing global demand for specialty
elastomers,” said Neil Chapman, senior vice president, polymers, for
ExxonMobil Chemical Company.
“The project will help maintain an important focus on accelerating the
growth and diversification of the Kingdom’s manufacturing sector,” said
Koos Van Haasteren, SABIC executive vice president, performance
chemicals. “The HIEI, product support center, and the Kemya elastomers
facility together build a strong foundation for investments in targeted
industries such as automotive manufacturing, building and construction
and appliances.”
About SABIC
Saudi Basic Industries Corporation (SABIC) ranks among the world’s top
petrochemical companies, and is among the world’s market leaders in the
production of polyethylene, polypropylene, advanced thermoplastics,
glycols, methanol and fertilizers. SABIC manufactures on a global scale
in Saudi Arabia, the Americas, Europe and Asia Pacific. The company
operates in more than 40 countries across the world with 33,000
employees worldwide. To learn more, visit www.sabic.com.
About ExxonMobil Chemical Company
ExxonMobil Chemical Company is one of the world’s premier petrochemical
companies with global manufacturing, technology, and marketing
operations. The company delivers a broad portfolio of products and
solutions efficiently and responsibly, with a commitment to create
outstanding customer and shareholder value. ExxonMobil Chemical endorses
the principle of sustainable development, including the need to balance
economic growth, social development and environmental considerations. To
learn more, visit www.exxonmobilchemical.com.
About Al-Jubail Petrochemical Company
Al-Jubail Petrochemical Company (Kemya) is a 50-50 joint venture between
Saudi Basic Industries Corporation (SABIC) and Exxon Chemical Arabia
Inc., an affiliate of ExxonMobil Chemical Company.
Note to editors: ExxonMobil refers collectively to some or all of the
companies affiliated with Exxon Mobil Corporation (NYSE: XOM), which
have chemical manufacturing and/or marketing operations around the world.
