Sahara announces that its affiliate, Sahara & Maaden Petrochemicals Company (SAMAPCO) has signed a financing agreements for a total amount of SAR 1980.75 million (US$528.2 mln). The agreements were signed with three Saudi banks: Banque Saudi Fransi, Riyad Bank and The Saudi British Bank, to provide Islamic commercial financing for the development of SAMAPCOs Ethylene Dichloride and Caustic Soda petrochemical project located in Jubail Industrial City. The financing is for a period of 15 years with unequal semi-annual installments commencing after the completion of the project. Promissory Notes were provided to effect payments due as per the agreements.
SAMAPCO is a 50:50 joint venture between SAHARA Petrochemicals and Saudi Arabian Mining Company (Ma'aden), with production expected to commence in the end of the first quarter of 2013. Any additional information will be announced in due course.