GCC 2017 chemical production capacity to post 5.3% growth
This year saw the completion of phased start-ups of two major petrochemical complexes in Saudi Arabia: The Sadara Chemical complex in Jubail, and the PetroRabigh II expansion in Rabigh.
Other start-ups include those by Ma’aden, for ammonia and diammonium phosphate (DAP); by Ibn Sina, for polyacetal; and by Saudi Methacrylates, the SABIC/Mitsubishi joint venture, for methyl methacylate and polymethyl methacrylate. Additionally, Saudi Aramco boosted benzene and paraxylene capacity at its Jazan refinery complex.
“For the period 2017-2026, we anticipate a modest growth in volume but at the same time the growth in sales revenue is projected to increase due to the drive towards producing specialty and performance chemical by the regional industry,” Al Sadoun said.Meanwhile, captive chemical consumption in the GCC in 2017 is expected to rise by 5.5% to 53.8m tonnes, with the rate of increase higher than the 3.9% posted in the previous year, according to Al-Sadoun.
Between 2020 and 2024, projects worth a total of $13bn, involving 8m tonne/year in new capacity, are expected to come on stream in the GCC, he said. These projects announced in 2016 are expected to generate as much as 4,000 new jobs, the GPCA secretary general said.