SHARQ signs LOI with Foster Wheeler

30-Aug-05

SABIC affiliate, Eastern Petrochemical Company (SHARQ) has signed a letter of intent with Foster Wheeler, awarding the company a contract to construct Utility Offsite Facilities within its expansion project III. The contract covers engineering, procurement and construction of the plants which will be erected at the SHARQ complex in Al-Jubail, Saudi Arabia, to be completed by Q1 2008. SHARQ's expansion project will increase output by a total of 2.8m mta, further enhancing SHARQ's position as the world's largest single producer of Ethylene Glycol and will also enhance SABIC's global ranking. The expansion includes 1.3 million mta of Ethylene, 700,000 mta Ethylene Glycol, 400,000 mta of Linear Low Density Polyethylene (LLDPE), and 400,000 mta of High Density Polyethylene (HDPE). SHARQ is a joint venture equally owned by Saudi Basic Industries Corporation (SABIC) and SPDC Ltd, a Japanese consortium led by the government of Japan and a consortium of companies led by Mitsubishi.