Advanced Petrochemical Company Announces the Signing of Heads of Agreement for the Development of Pygas and Pyoil Downstream Project in Saudi Arabia
Advanced Petrochemical Company (ADVANCED) is pleased to announce the signing of Heads of Agreement on November 14, 2017 for a period of six months, for the development of Pygas and Pyoil Downstream Project (the Project) in Jubail Industrial City II in the Kingdom of Saudi Arabia with Global Company for Downstream Industries (GDI), a Saudi entity engaged in developing specialized chemical products and other downstream industries in Saudi Arabia.
The total cost of the Project is currently estimated at US$ 580 million (SR 2.17 billion) and the Project will be financed 30% equity and 70% debt with a product portfolio of more than 12 specialty chemicals including hydrocarbon resins, aromatic solvents, premium wash oils, naphthalene and other products to be produced first time in MENA region. ADVANCED anticipated ownership in the Project will be in the range of 30% to 40% through its subsidiary Advanced Global Investment Company (AGIC) which is owned 95% by ADVANCED.
The Project with overall product capacity of approximately 300 KTA is scheduled to start up in the 1st half of 2021. Once operational, it is expected that the financial benefits of the Project will improve ADVANCED shareholders value.
Any Additional Information will be announced in due course.