The deal was announced by the firms in January this year.
Located in Jubail of Saudi Arabia, SADAF JV includes six advanced petrochemical plants that hold a capacity to produce more than 4 million metric tons per year.
The acquisition will allow SABIC to expand its operations at SADAF, as well as to further invest in the facilities and integrate them with SABIC’s other affiliates.
The divestment will help Shell to focus more on its downstream operations and make selective investments to expand its global chemicals business.
At the time of acquisition Shell executive vice president Graham van’t Hoff said: “Our partnership with SABIC, spanning more than thirty years, has been a great success story.
“We’re proud to have established together one of the first petrochemical ventures in Saudi Arabia – it has grown substantially since the start, in 1986. We will continue to explore potential future opportunities with SABIC.”
SABIC vice chairman and CEO Yousef Al-Benyan said: “We are confident that our journey of partnership together will continue and grow in strength. With this transaction SABIC is looking to capitalize on synergy opportunities of SADAF with other affiliates, and improve its operation and profitability.”
Shell subsidiaries operates in around 70 countries and territories with businesses comprising of oil and gas exploration and production, production and marketing of liquefied natural gas and gas to liquids.
It will also manufacture, market and distribute oil products and chemicals and renewable energy projects.
