The proposed Rabigh II project, an expansion of PetroRabigh’s existing petrochemical facility, is currently under construction.
The decision is based on a due diligence study conducted by Petro Rabigh for a comprehensive assessment while the ownership transfer process is slated to be completed in the fourth quarter this year.
Located on Saudi Arabia’s Red Sea coast, the project will use around 30 million standard cubic feet per day of ethane and three million tons per year of naphtha as feedstock.
The proposed plans require founding shareholders to secure project finance loan approvals, ensure that the project will comply with all government regulations and secure required permits.
The Rabigh II project, which received a go-ahead from the companies in 2012, will produce ethylene propylene rubber, thermoplastic polyolefin, methyl methacrylate monomer, polymethyl methacrylate, low-density polyethylene/ethylene vinyl acetate, para-xylene/benzene, cumene and phenol/aceton, among others.
Petro Rabigh converts ethane gas to 1.3 million tonnes of ethylene each year to produce easy processing polyethylene, linear low-density polyethylene, high-density polyethylene and mono ethylene glycol.