Gulf Oil and Gas accountACCOUNT

Saudi-Japanese Oil Project to Cost $8 Billion

Source: MENAFN 8/1/2005, Location: Middle East

Sumitomo Chemical Company, a leading Japanese chemical manufacturer, said the total cost of the major petrochemical project in Saudi Arabia is expected to double to about $8 billion due largely to higher steel prices. Initially, total investment in the oil refinery and petrochemical plant being constructed in a joint venture with Saudi Aramco was projected at $4-3 billion, but with rising prices of steel and other materials, the costs indicated by engineering firms exceeded initial estimates.New facilities not included in the initial plans, such as power generation and desalination plants, will also be built.

Sumitomo Chemical and Saudi Aramco agreed in May of last year to establish a 50-50 joint venture. While purchasing an existing large oil refinery in Rabigh on the Red Sea coast, this venture is to refine ethane, a type of natural gas, to begin start-to-finish production of such products as ethylene and polyethylene. Starting in 2008, the unit is to output 1.3 million tons of ethylene, a basic material for petrochemical products, and 750,000 to 900,000 tons of the general-use plastic polyethylene each year.

Gas Treating News in Saudi Arabia >>

Saudi Arabia >>  4/15/2019 - The Saudi Arabian Oil Company (Saudi Aramco) and Hyundai Heavy Industries Holdings today announced that they have reached an agreement for Saudi Aramc...
Qatar >>  4/12/2019 - McDermott International, Inc. (MDR) announced a large* contract award from Qatargas for engineering, procurement, construction and installation (EPCI)...

Saudi Arabia >>  4/5/2019 - McDermott International has signed a Joint Venture Agreement with Zamil Offshore to target the Maintenance, Modifications and Operations (MMO) market ...
Saudi Arabia >>  4/1/2019 - Subsea 7 has announced the award of two contracts from Saudi Aramco for Conventional projects in shallow water offshore Saudi Arabia. ...

Saudi Arabia >>  3/21/2019 - McDermott International, Inc. has been awarded a substantial* contract award from a Middle East customer for engineering, procurement, construction an...

Related Categories: Deodorization system  Gas dehydration  Gas sweetening  Gas Treating  General  GTL Processing  LNG Processing  LPG Domestic use  LPG Odorless  Packing  Phase Separation  Scrubbers 

Related Articles: Gas dehydration  Gas sweetening  Gas Treating  General  GTL Processing  LNG Processing  LPG Domestic use  LPG Odorless  Packing  Phase Separation  Scrubbers 


Saudi Arabia Oil & Gas 1 >>  2 | 3 | 4 | 5 | 6 | 7 | 8 | 9 | 10 | 11 | 12 | 13 | 14 | 15 | 16 | 17 | 18 |

More News

Related Links

AE BH IL IQ JO KW LB OM QA SA SY YE
Gulf Oil and Gas
Copyright © Universal Solutions All rights reserved. - Terms of Service - Privacy Policy.