The plant expansions are expected to be completed in 28 months.
Sahara International Petrochemical Company (Sipchem) has awarded engineering, procurement, and construction (EPC) contracts worth $169 million to expand the propylene and polypropylene plants of its subsidiary, Al-Waha Petrochemical Company.
The expansion is aimed at increasing production capacity by 72,000 tonnes of propylene and 150,000 tonnes of polypropylene, Sipchem announced in a statement to the Saudi stock exchange on Tuesday.
Upon completion, the total production capacity will rise to 537,000 tonnes of propylene and 600,000 tonnes of polypropylene.
The 28-month contracts were awarded to SGC E&C Company and SGC Arabia Company. The expansion is part of Sipchem’s broader strategy to enhance production capacity and operational efficiency. The increased output is expected to benefit various industries, including automotive, fiber, and food packaging films.
Any significant developments will be announced in due course, the statement added.