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Saudi Kayan has signed USD 130 million contract with China's Sinopec

August 17/2011

(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.


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