5 companies bid for Sabic plastic plant
Al Khobar , December 3, 2012
Five international engineering firms have bid to build a 50,000 tonnes-per-year polyacetal plant at Ibn Sina, an affiliate of Saudi Basic Industries Corporation (Sabic), industry sources said.
Sabic said the project to produce a plastic which is mainly used in the car industry, would require investment of nearly $400 million.
Spain's Dragados, China National Chemical Engineering Company (CNCEC), Taiwan's CTCI, South Korea's Hanwha Engineering and SK Engineering and Construction have all made bids.
Bidding closed on November 28 after it was extended from an October deadline, the sources said.
National Methanol Company, better known as Ibn Sina, is 50-per cent owned by Sabic, the world's largest chemical company, while Celanese Corp and an affiliate of Duke Energy Corp each have a 25 per cent-stake.
The plant was originally planned to start up by 2013 with engineering and construction work beginning by 2011.
Sabic CEO said last month the company has given the go-ahead for the polyacetal plant, which will use methanol feedstock from Ibn Sina.
Some Saudi petrochemical companies have said they have faced difficulties sourcing feedstock supplies for new projects as the oil-rich kingdom balances their claims for gas supplies against the need to use it for power generation.-Reuters