RCC Plans $500M Hydrocarbon Resin Plant In Saudi Arabia

Dec. 19, 2016
Saudi-based Rufayah Chemicals Company signs deal with Sadara Chemical Company.

Saudi-based Rufayah Chemicals Company (RCC), a Saudi downstream company, signs a deal with Sadara Chemical Company to develop a $500 million hydrocarbon resin plant in the PlasChem Park at Jubail in Saudi Arabia’s Eastern Province, according to the company. Sadara, a joint venture between Saudi Arabian Oil Company (Saudi Aramco) and The Dow Chemical Company, is building the chemical complex with a total investment of about $20 billion in Jubail Industrial City II dedicated to downstream chemical and conversion industries. Comprising 26 manufacturing units, the Sadara complex is reportedly the world’s largest to be built in a single phase and will be the first in the Middle East to use refinery liquids, such as naphtha, as feedstock, according to the company.

Sadara will supply RCC with aromatics concentrate (Pygas) and Pyoil, generated from cracking naphtha, for use in the new chemical complex planned for PlasChem Park, a collaborative effort between Sadara and the Royal Commission for Jubail and Yanbu (RCJY). The supply agreements will cover a period of 20 years. RCC will reportedly use the feedstock obtained from Sadara and potentially other liquid crackers in Saudi Arabia, to produce downstream chemical products such as hydrocarbon resin, isoprene, pure DCPD, aromatic solvents, premium wash oils and other products.

Once complete, RCC says it expects to manufacture 12 different downstream products with an overall production capacity of more than 350 kilotonnes per annum (KTA). The complex is projected to be on-stream in December 2020, according to the company. 

For more information, visit: www.tradearabia.com

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