| Work Detail |
The entire work will be completed within a 19-month period Saudi-based Basic Chemical Industries Company (BCI) has awarded a key contract to ThyssenKrupp for the expansion of a chlor-alkali plant in Jubail industrial city in the kingdom. As per the deal, ThyssenKrupp will be responsible or the sale, supply of equipment, spare parts as well as provision of engineering and consulting services for the expansion of the Jubail plant, said BCI in its filing to Saudi bourse Tadawul. Headquartered in Essen, Germany, ThyssenKrupp is a leading industrial engineering and steel production multinational conglomerate with offices in 48 countries around the world led by a 98,000-strong workforce. Additionally, the contract includes a limited, non-exclusive, non-transferable licence to use the associated know-how, engineering and equipment for operating the plant. It involves the supply of know-how, engineering, equipment, spare parts and advisory services for the erection, commissioning, startup, and performance tests of the chlor-alkali plant expansion using membrane technology, it stated. Headquartered in the Saudi city of Dammam, BCI has, over three decades, emerged as the kingdom’s largest privately owned chemical company, with a series of expansions and joint ventures covering a diverse range of chemical products. The Saudi plant currently produces 24,000 MT of chlorine and 27,000 tonnes of caustic soda annually. According to BCI, about 25% of the total project costs, estimated at SAR89 million, will be funded through its own resources, while the remaining amount will be financed through loans. The project is anticipated to contribute to an annual revenue increase of SAR41 million compared to the expected sales for 2024, said BCI in its bourse filing. Additionally, operating profit is expected to rise by around SAR15.5 million compared to the projected operating profit for 2024, based on the current selling prices of the relevant products, it added. The entire work will be completed within a 19-month period. |
