Saudi Arabia’s Basic Chemical Industries Company (BCI) has awarded a significant contract to ThyssenKrupp for the expansion of its chlor-alkali plant in Jubail Industrial City.
Under this agreement, ThyssenKrupp will oversee the sale and supply of equipment, spare parts, and provide engineering and consulting services to support the plant’s expansion, as outlined in BCI’s filing with the Saudi stock exchange, Tadawul.
Headquartered in Essen, Germany, ThyssenKrupp is a global industrial engineering and steel production powerhouse, operating in 48 countries with a workforce of over 98,000 employees.
The contract also includes a limited, non-exclusive, and non-transferable license to utilize ThyssenKrupp’s proprietary engineering expertise and equipment for operating the expanded facility. As part of the project, ThyssenKrupp will supply technology, engineering solutions, spare parts, and advisory services for the installation, commissioning, startup, and performance testing of the membrane-based chlor-alkali plant expansion.
BCI, headquartered in Dammam, Saudi Arabia, has grown into the kingdom’s largest privately owned chemical company over the past three decades. The company has undertaken several expansions and joint ventures, broadening its portfolio across various chemical products.
Currently, the Jubail plant produces 24,000 metric tons of chlorine and 27,000 metric tons of caustic soda annually. With this expansion, BCI aims to enhance production capacity and strengthen its market presence.
BCI has allocated SAR 89 million for the project, with 25% of the funding coming from its own resources and the remainder secured through loans. The expansion is expected to generate an additional SAR 41 million in annual revenue, while operating profit is projected to increase by SAR 15.5 million, based on current product prices.
The entire project is set for completion within 19 months, marking a significant step in Saudi Arabia’s industrial growth and reinforcing BCI’s commitment to advancing the kingdom’s chemical manufacturing sector.