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Saudi Kayan to receive more ethane gas for Jubail complex

by ChemOrbis Editorial Team -
  • 09/02/2015 (11:02)
According to media reports, Saudi Arabia’s Oil Ministry has decided to allocate more ethane gas to Saudi Kayan Petrochemical, a subsidiary of Saudi Basic Industries Corporation (SABIC), through which the company aims to expand ethylene production at its Jubail petrochemical complex.

The Ministry is reportedly planning to supply an additional 10 million cubic feet per day of ethane to the Jubail-based company effective as of July 1, 2015. The additional ethane allocation will enable the company to increase its ethylene production by 93,000 tons/year and its ethylene oxide production by 61,000 tons/year by the second quarter of 2017 as well as reducing the company’s consumption of butane feedstock.

In addition, SABIC will cut the marketing charges it assesses for Saudi Kayan so that the company will save 280 million riyals ($74.6 million) this year and 600 million ($160 million) riyals per year once the planned expansion projects are completed.
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