The month of October will kick off brand new start ups in the Middle East, which is expected to improve the availability of ethylene, propylene and their derivatives across the region, as per ChemOrbis. The Middle Eastern market will see new supply from two major complexes within this month, according to market sources. One of the complexes was recently started up and is now gaining speed, while the other one will be started up within a month.
Saudi Kayan, a Saudi Arabia based joint stock company, reported reaching commercial operations at most of its plants located at the Jubail Industral city complex, which includes a 1.478 mln tpa ethylene plant, a 630,000 tpa propylene plant, a 350,000 tpa PP plant, a 400,000 tpa HDPE plant and a 566,000 tpa MEG plant. The company had exported its first cargo in January this year, but said that its plants were still on test runs. The company is also getting prepared for the start-up of a few other facilities which include a 109,000 tpa benzene plant and a 300,000 tpa LDPE plant. However, they didn’t comment on the start of these facilities yet.
Another complex is being started up by Saudi Polymers, a joint venture between Arabian Chevron Phillips Petrochemical Company Limited and National Petrochemical Company (Petrochem). According to market sources, the company plans to start up its integrated olefins complex in Jubail, Saudi Arabia within a month as per the plastics pricing service ChemOrbis. The complex includes an ethane/propane based steam cracker, which will feed the downstream units. The steam cracker is able to produce 1.165 million tons/year of ethylene and 445,000 tons/year of propylene. In addition to the cracker, the complex also houses a 1.1 million tons/year HDPE plant, a 400,000 tpa PP plant and a 200,000 tpa PS plant. The HDPE plant will produce all HDPE grades, including film, blow moulding and injection as well as yarn and pipe grades. The company is currently conducting safety inspections at the complex. The entire complex is expected to come online simultaneously, starting with the cracker and shortly after followed by the downstream units.