RIYADH, Saudi Arabia--(BUSINESS WIRE)--
SABIC and ExxonMobil Chemical Company have announced the selection of a site in San Patricio County, Texas for potential development of a jointly-owned petrochemical complex – currently under study – on the U.S. Gulf Coast.
The proposed multi-billion dollar investment would include a world-scale ethane steam cracker capable of producing 1.8 million tonnes of ethylene per year, which would feed a monoethylene glycol unit and two polyethylene units.
The project, currently under study, reflects SABIC’s strategy to advance the company’s growth in key markets such as the United States. “We are focused on geographic diversification to supply new markets,” said SABIC Vice Chairman and CEO Yousef Abdullah Al-Benyan. “The proposed venture would capture competitive feedstock, capitalize on the growing global demand for ethylene-based products, and reinforce SABIC’s strong position in the value chain.”
“This decision represents a significant milestone for both the local community and the state of Texas,” said Neil Chapman, president of ExxonMobil Chemical Company. “We wish to thank local and state officials who have been instrumental in the site selection process, as well as everyone in the community who attended meetings to learn more about the project and provided us with constructive feedback. We will continue listening to local residents and businesses and look forward to continuing to work together.”
With site selection completed, ExxonMobil and SABIC will now apply for the necessary permits from the Texas Commission on Environmental Quality. Each company will make a final decision on the investment after the required permits have been granted.
ExxonMobil and SABIC have worked together for 35 years in major chemical joint ventures in Saudi Arabia; the proposed project represents the companies’ first potential U.S.-based joint venture.
NOTES TO EDITORS
- SABIC and brands marked with ™ are trademarks of SABIC or its subsidiaries or affiliates.
- SABIC should be written in every instance in all uppercase
SABIC is a global leader in diversified chemicals headquartered in Riyadh, Saudi Arabia. We manufacture on a global scale in the Americas, Europe, Middle East and Asia Pacific, making distinctly different kinds of products: chemicals, commodity and high performance plastics, agri-nutrients and metals.
We support our customers by identifying and developing opportunities in key end markets such as construction, medical devices, packaging, agri-nutrients, electrical and electronics, transportation and clean energy.
SABIC recorded a net profit of SR 17.84 billion (US$ 4.76 billion) in 2016. Sales revenues for 2016 totaled SR 132.83 billion (US$ 35.42 billion). Total assets stood at SR 316.89 billion (US$ 84.5 billion) at the end of 2016. Production in 2016 stood at 72.7 million metric tons
SABIC has more than 40,000 employees worldwide and operates in more than 50 countries. Fostering innovation and a spirit of ingenuity, we have 12,077 global patent filings, and have significant research resources with innovation hubs in five key geographies – USA, Europe, Middle East, South East Asia and North East Asia.
The Saudi Arabian government owns 70 percent of SABIC shares with the remaining 30 percent publicly traded on the Saudi stock exchange.
About ExxonMobil Chemical Company
ExxonMobil Chemical Company is one of the largest petrochemical companies worldwide. The company holds leadership positions in some of the largest-volume and highest-growth commodity petrochemical products in the world. ExxonMobil Chemical Company has manufacturing capacity in every major region of the world, serving large and growing markets. More than 90 percent of the Company’s chemical capacity is integrated with large refineries or natural gas processing plants. To learn more, visit www.exxonmobilchemical.com.