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Sadara Chemical Company Announces Startup of Fourth and Final Plastics Plant

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JUBAIL, Saudi Arabia, April 27, 2017 Sadara Chemical Company (Sadara) announced today the startup of its fourth and final polyethylene unit, the High Pressure Low Density Polyethylene (HP-LDPE) Train. This marks a significant milestone for the company as it continues to bring its world-scale manufacturing facilities on stream.

The HP-LDPE Train joins the two Linear Low Density PE trains (PE Trains 1 & 2) and the one Elastomers train (PE Train 4), which came on stream over the last 15 months, to complete the company’s plastics plants.

Ziad Al-Labban, Sadara CEO, commented on the occasion, saying, "The successful startup of the fourth and final Sadara Plastics plant is a milestone achievement for the Sadara team and illustrates the results of successful teamwork at both the company and shareholder levels. The products from the Plastics plants will provide feedstocks which will support the development of secondary and tertiary manufacturing investments in the Kingdom of Saudi Arabia."

Each of Sadara’s four Plastics plants has world-class capacity and flexible capabilities for producing highly specialized grades of plastic products. PE Trains 1 and 2 produce a wide variety of Linear Low Density Polyethylene (LLDPE) and High Density Polyethylene (HDPE) product grades, while PE Train 4 is the first facility in the Kingdom to produce Elastomers, a very low density form of polyethylene, and has the flexibility to produce LLDPE as well.

In addition to supplying international markets, Sadara’s products will be utilized for downstream applications by investors located in the adjacent PlasChem Park in Jubail, which is a collaborative effort between Sadara and the Royal Commission for Jubail and Yanbu. Located next to Sadara’s chemical complex, PlasChem Park leverages advantages of the strong industrial and services infrastructure in Jubail, secure feedstock, proximity to growing and emerging markets, and a qualified local workforce. Collectively, these factors offer investors unprecedented growth and development opportunities, the potential to create thousands of sustainable jobs, and make a positive and lasting impact on the Saudi economy.

PE Train 3 is one of 26 manufacturing units located in the multi-billion dollar Sadara Chemical Complex in Jubail Industrial City II in Saudi Arabia. Of these units, 14 will deliver products that are completely new to being produced in the GCC.