MOSCOW (MRC) -- Saudi Kayan, a Sabic affiliate, has announced a 21-day scheduled maintenance shutdown for its ethylene glycol (EG) and ethylene oxide (EO) facilities at Jubail, Saudi Arabia, starting on 1 February, as per Chemweek.
The company says that some of its other facilities that rely on EG and EO feedstocks will also undergo periodic maintenance and improvements.
Saudi Kayan says the stoppages will have a financial impact of 117 million Saudi riyals (USD2 million), which the company will record in its first-quarter 2020 results. The company intends to meet some of the market needs using available stock to reduce the financial impact.
Saudi Kayan is a major producer of EG and EO with capacity of 566,000 metric tons/year and 550,000 metric tons/year, respectively. The downstream plants that are expected to be affected by the shutdown are a 34,000-metric tons/year each mono- and di-ethanolamine units; a 32,000-metric tons/year tri-ethanolamine plant; and a 40,000-metric tons/year ethoxylates production facility.
EO is one of the main feedstocks for the production of purified terephthalic acid (PTA), which is used to produce polyethylene terephthalate (PET). And PET is used in the manufacturing of plastic bottles, films, packaging containers, in the textile and food industries.
Saudi Kayan operates a MEG plant in Jubai, Saudi Arabia, which has a production capacity of 566,000 mt/year.
As per MRC's ScanPlast report, the estimated consumption of polyethylene terephthalate (PET) in Russia decreased by 16% year on year in December 2019. Russia's overall estimated PET consumption totalled 696,810 tonnes in 2019, up by 1% year on year (690,130 tonnes in 2018).
Saudi Kayan Petrochemical Company is a manufacturing affiliate of the Saudi Basic Industries Corporation (Sabic).
MRC