Saudi-listed Basic Chemical Industries Company (BCI) has signed a memorandum of understanding (MoU) with Johannesburg-listed BCI to establish a joint venture for the production of specialty chemicals in Saudi Arabia.
The new facility will manufacture a range of chemicals used in water treatment, mining, oil and gas operations, and industrial wastewater treatment. These include coagulants, flocculants, flotation reagents, coatings, and chemical additives.
In a statement to the Saudi stock exchange on Thursday, BCI noted that the initiative aligns with the Kingdom’s Vision 2030 and the National Industrial Strategy, aiming to localize chemical production and reduce dependency on imports.
The manufacturing complex will be located in Jubail Industrial City, adjacent to BCI’s existing chlor-alkali plant, enabling synergies through the integration of feedstock from its current operations.
BCI said the financial impact of the joint venture will be disclosed once final agreements are concluded.