Project Management and Development (PMD) of Saudi Arabia and the Arab Banking Corporation (ABC) of Bahrain have signed an agreement appointing ABC as advisor for the Olefins and Amines Projects developed by PMD. The two projects are estimated to cost $3.5 billion and are planned to be located in Al-Jubail Industrial City in Saudi Arabia.
The adviser was appointed from amongst several regional and international bidders after a comprehensive selection process. As PMD announced earlier that the two projects will create around 1,500 employment opportunities, and will be producing three million tons of petrochemical products including polyethylene, polypropylene, ethylene glycol, benzene, phenols, methyl amines and derivatives, ethanol amines and ethoxylates.
The main raw materials for the projects such as butane, methanol and ammonia have been allocated by Saudi Aramco and Sabic, the land plot needed for the amines project was assigned to PMD earlier by the Royal Commission (RC) in Al-Jubail, another land plot request was filed with RC for the olefins project.
Within the same context PMD signed earlier a Memorandum of Understanding with Linde of Germany to be the technical advisor for the projects to define the final outlook for each project, produce the bankable feasibility studies that will be submitted to financing establishments, coordinating with technology providers and product marketers. Site activities are expected to start in beginning of 2005 and construction to be completed by end of 2007.
Established in 1980 the ABC is a regional corporation that has a worldwide strategic network, with its head office in Bahrain. ABC, with a $1.8 billion equity has branch offices affiliated and sister companies in more than 30 international financial centers around the world. Its services include project and structured finance, financial advisory, capital markets, commercial banking, treasury, Islamic banking and retail banking products, equity guarantees, credit facilities management, and syndicated loans.
PMD is located at Al-Jubail Industrial City, Saudi Arabia and is involved in the field of petrochemical industries development in Saudi Arabia. PMD’s goals are to participate in expanding the industrial base, diversifying the sources of national income, creating job opportunities for Saudi nationals and the transfer advanced technologies. PMD is wholly owned by Saudi businessmen and engineers with expertise in the field of petrochemical industries. — (menareport.com)
© 2003 Mena Report (www.menareport.com)
