(Arabian Oil and Gas) -- Saudi Kayan has signed USD 130 million contract with China's Sinopec to build a natural alcohol plant in Saudi Arabia, Kayan said in a statement. ⌠The production capacity of the plant will be 50 KTa of natural alcohol (detergents) and is expected to start during the second half of 2013, said Mutlaq al-Morished, chairman of the board, EVP finance of SABIC.
⌠The signed contract included the detailed engineering work, procurement, construction and commissioning, said al-Morished. ⌠It is a lump sum turnkey contract, he added.
The plant will be located at al-Jubail Industrial City, on the eastern coast of the Kingdom. ⌠The plant will meet part of SABIC's commitment to diversify into oleochemicals using renewable feedstocks and increase its performance chemicals portfolio, Kayan said in the statement.