Dow, Al-Hejailan Group announce new natural gas purification plant in Saudi Arabia

Published: Updated:

US-headquartered Dow and Saudi Arabia’s al-Hejailan Group will work together on a natural gas purification plant in the Kingdom, a press statement said on Wednesday.

The announcement comes after an MoU was signed between the two entities to jointly design, build and operate a methyl diethanolamine (MDEA) plant in the PlasChem Park in Saudi Arabia’s Jubail.

For the latest headlines, follow our Google News channel online or via the app.

“Saudi Arabia is a significant player in both the regional and global petrochemicals market, with further growth expected in the coming years. We are therefore delighted to sign this agreement with Dow…” al-Hejailan Group CEO Faisal al-Hejailan said in the statement.

“We appreciate and recognize the leading efforts of the Ministry of Energy & the Royal Commission in allowing the multiple components of Saudi Arabia’s industrial base to work together to deliver on Vision 2030 in general,” he added.

President and CFO at Dow Howard Ungerleider said that the partnership will “help advance the energy transition.”

According to the agreement, Dow will hold a 25 percent stake while al-Hejailan will hold the remaining 75 percent stake in the joint venture.

The facility is set to utilize Dow’s manufacturing technologies. The construction of the plant is expected to begin in 2024 and to come online in 2025, the statement clarified.

Additionally, Dow said it will also build a downstream manufacturing facility which will source raw materials from the new venture with al-Hejailan.

The al-Hejailan Group is a family-owned business headquartered in Riyadh. Its portfolio reflects participation in key sectors including engineering, manufacturing, metalworks, petrochemicals, and telecommunications.

Dow operates 104 manufacturing sites in 31 countries. It delivered sales of nearly $55 billion in 2021.

Read more:

UAE’s ADNOC buys ZMI Holdings in offshore oil and wind push

THE LINE in NEOM will run on 100 pct renewable energy: Saudi Crown Prince

Iraq can boost oil output by 200,000 bpd in 2022 if asked: Basra oil executive

Top Content Trending