Sipchem awards US$169 mn expansion contract of PDH-PP plant to SGC

Sipchem awards US$169 mn expansion contract of PDH-PP plant to SGC

Saudi Arabia’s Sahara International Petrochemical Company (Sipchem) says it has awarded engineering, procurement and construction (EPC) contracts for the expansion of Al Waha (one of Sipchem’s affiliate)’s propylene and polypropylene plants to SGC E&C Co and SGC Arabia Co. The value of the contract is US$169 million.

The scope includes engineering, procurement and construction contracts for the efficiency improvement and expansion of the PDH-PP plants, where the additional production capacity is 72,000 tonnes of propylene and 150,000 tonnes of PP.

The total production capacity after the expansion will be approximately 537,000 tonnes of propylene and 600,000 tonnes of PP. The duration of the contract is 28 Months.

The company stated that, this project reflects Sipchem’s continuous efforts to enhance its production capacity and efficiency. Increased PP production will contribute significantly to many industries, including automotive, fibre, and food packaging films.

It adds that this expansion will strengthen the company’s position in the market and support its growth strategy.