Innovene, the petrochemicals and refining offshoot of BP, has agreed to collaborate on the development of a world-scale cracker and petrochemical complex in Saudi Arabia with Delta International.
Innovene, the petrochemicals and refining offshoot of BP, has agreed to collaborate on the development of a world-scale cracker and petrochemical complex in Saudi Arabia with Delta International, a Saudi-owned independent development company. The complex, which could be sited near other petrochemical facilities in Jubail, is expected to cost some $2 billion.
The two companies will be equal partners in the venture, which they expect to use as a platform for further growth in the Middle East. Subject to final approvals, they will sign a formal agreement before the end of the year, Innovene says; commissioning of the plants could begin as early as 2008.
‘We see this venture as the first chapter in a long and fruitful partnership between Innovene and the Kingdom of Saudi Arabia,’ comments Innovene chief executive, Ralph Alexander. ‘It confirms Innovene’s position as a truly global petrochemicals player.’
Delta’s chairman and chief executive, Badr Al-Aiban, says that his company has a long reputation for forging long-term links with major companies. ‘As a Saudi company with domestic and global activities, we are pleased to be able to play such an important part in the continuing development of Saudi Arabia’s petrochemical industry.’
