25/06/2018 08:04 AST

Saudi Arabia's Advanced Petrochemical Company signed an agreement with South Korea's PolyMirae through its subsidiary to set up a $420 million (Dh1.54 billion) polypropylene plant through a joint venture.

The Saudi firm's South Korean chemical outfit is itself a joint venture in which it owns 30 per cent through its investment company, along with South Korea's SK Gas and Kuwait's Petrochemical Industries Company.

The cost of the 400,000-tonne capacity project is expected to be financed by the partners through 60 per cent of commercial debt while the rest will be funded via equity contributions, Advanced Petrochemical said in a statement on Sunday to Saudi Stock Exchange, where its shares are traded. SK Advanced will hold 49.99 per cent ownership of the South Korean JV project, it said.

South Korea is Asia's fourth-largest economy and one of the top importer of Middle East crude. The country is also active in development of petchems projects in the Arabian Gulf.

The JV expects to break ground on the project in January 2019, subject to final investment decision. Propylene, the main feedstock for the chemicals scheme will be secured from SK Advanced on a long-term basis, the Saudi company said. Such an off-take was an "important" term to forming the joint venture agreement, it added.

The companies said the " financial impact" of the agreement between the partners is expected after the scheme commences commercial operations in 2021.

SK Advanced has been operating a 600,000-tonne capacity propane de-hydrogenation plant since 2016 in South Korea. PolyMirae is one of the country's leading polypropylene producers and operates four production lines, with a collective capacity of 700,000 tonnes per annum.


The National

Saudi Advanced Petrochemical revenue up 8pc in Q1

14/05/2017

Saudi-based Advanced Petrochemical Company (APPC) has reported a eight per cent growth in its revenue for the first quarter to SR526.2 million ($140.2 million) compared to the same period last year d

Trade Arabia

Kuwait to buy 25pc stake in Korea-Saudi venture

19/01/2016

Kuwait's Petrochemicals Industries Company (PIC) has agreed to buy a 25 percent equity stake in a venture owned by South Korea's SK Gas Co Ltd and Saudi Advanced Petrochemical Co, shareholders of the

Reuters

Advanced Petrochem recommended 7.5% cash dividends for 2Q 2015

26/05/2015

The Board of Directors of Advanced Petrochemical Company in their meeting held on May 26th 2015 reviewed the financial and operational performance of the Company and has recommended to distribute div

Tadawul

Ticker Price Volume
SABIC 118.60 3,051,555
EEC 17.96 1,356,411
WALAA 23.70 381,943
JAZIRATKFL 19.00 85,514
STC 81.90 322,056
SACO 71.00 167,636
JABALOMAR 38.30 838,646
APPC Sector Market
P/E
Price/BookValue
Dividend Yield (%)
Relative Strength
  • 1-Month
  • 3-Month
  • 1-Year
Volume Change
  • 10D Avg Vs 90D Avg
Price Vs…
  • 52-w high
  • 50-day moving avg.
  • 200-Day Moving Avg
Ticker Price Change
SABIC 118.60 1.80 (1.54%)
MAADEN 48.90 -1.30 (-2.59%)
YANSAB 70.90 0.90 (1.28%)
SAFCO 77.10 -0.40 (-0.52%)
KAYAN 16.18 -0.10 (-0.62%)
Du inks deal with ADGM

19/09/2018

Dubai-based telecom operator du has announced a new partnership with the Abu Dhabi Global Market (ADGM) to facilitate its digital transformation agenda.

The MoU sets a formal framework for

Gulf News

Barwa Real Estate takes part in Qatar-Russia 2018 Year of Culture

19/09/2018

Barwa Real Estate Group, one of the leading real estate and investment companies in Qatar and the region, participated in the Qatar-Russia 2018 Year of Culture, where a seminar entitled “Qatar: No Li

The Peninsula

Saudi Aramco unit hosts first graduation ceremony

19/09/2018

Saudi Aramco, a world leader in integrated energy and chemicals, said one of its units, Saudi Arabian Drilling Academy (Sada) held its first graduation for a cohort of 132 students representing 34 dr

Trade Arabia

Aldar Properties wins award for Emiratisation

19/09/2018

Aldar Properties, a leading developer in Abu Dhabi, has announced that it had won a prize in the small company category of the Emirates Emiratisation Awards, an initiative of the UAE's Ministry of Hu

Trade Arabia

Investcorp launches debut investment in China

19/09/2018

Investcorp, a global provider and manager of alternative investment products, has announced its first private equity investment in China since its inception in 1982.

Investcorp has partne

Trade Arabia