Dow solidifies JV plans with Saudi petrochemical firm
Dow Chemical Company, the Midland, Mich.-based materials company, has signed a Memorandum of Understanding to devel...
Dow Chemical Company, the Midland, Mich.-based materials company, has signed a Memorandum of Understanding to develop a plastics and chemicals production complex in Saudi Arabia with state-owned petroleum and energy supplier Saudi Aramco. The two companies are now entering the final negotiating phase for the formation of a joint venture to build, own and operate the Ras Tanura Integrated Project, a facility set to be located in Saudi Arabia’s eastern province.
The Ras Tanura joint venture will be operationally integrated with Aramco’s Ras Tanura Refinery complex and its Ju’aymah gas processing plant. These two facilities will supply feedstock to the venture, and continue to be owned and operated by Saudi Aramco.
Once fully operational, the new joint venture is expected to be one of the largest grassroots plastics and chemicals production facilities in the world, and will be positioned to serve major world markets.
“We are extremely pleased to be selected by Saudi Aramco as their joint venture parner to help build the Ras Tanura petrochemical complex,” said Dow chairman and CEO Andrew Liveris in a press release. “This joint venture will further strengthen Dow’s presence in the Middle East and add to our already vast capabilities worldwide.”
The Ras Tanura petrochemical complex is slated to produce a broad range of both basic and performance products, including ethylene, propylene, aromatic and chlorine derivatives.