Saudi Polyolefins drops plans to expand existing PP unit: to build new plant at Al-Jubail

In a bid to increase capacity, Saudi Polyolefins has aborted plans of expanding its existing polypropylene (PP) unit. Instead, the company plans to build a new 250,000 tpa unit at Al-Jubail. Production is estimated to commence in January 2009, four months later than the expansion that had been planned earlier. The decision to set up a new plant was guided by advantages such as more flexibility in production, despite identical capacity. Propylene feedstock will be supplied from Saudi Ethylene and Polyethylene Co's 1 mln tpa cracker at Al-Jubail, scheduled to come onstream by end-August 2008.
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