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
QNBK 161.50 144,143
SABIC 129.20 5,384,386
EEC 20.76 5,394,179
CHEMANOL 10.70 7,933,735
WALAA 28.60 174,561
EXTRA 60.80 293,094
HOKAIR 21.10 294,825
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 129.20 -0.20 (-0.16%)
MAADEN 58.00 -0.80 (-1.37%)
YANSAB 74.10 -1.90 (-2.50%)
KAYAN 18.14 1.06 (6.20%)
SAFCO 64.70 0.70 (1.09%)
Nakheel opens Dh60m retail Pavilion at Badrah

23/07/2018

Property developer Nakheel on Sunday announced the completion of a new Dh60 million retail Pavilion at Badrah in Jebel Ali. The new retail complex, operated by Nakheel Malls, will offer more than 800

Gulf News

DIB launches new Skywards co-brand credit cards

23/07/2018

Dubai Islamic Bank (DIB) has partnered with Emirates Skywards to launch new credit eards tailored specifically to offer exceptional value to the country’s growing community of frequent flyers.

Gulf News

UDC finalises construction of Al Mutahidah Towers’ connecting bridge

23/07/2018

United Development Company, a leading Qatari shareholding company and master developer of The Pearl-Qatar, has marked another milestone in the development of Al Mutahidah Towers with the construction

The Peninsula

Kuwait consumer spending rebounds in June: NBK

23/07/2018

Kuwait’s consumer spending index increased 8.5 per cent year-on-year (y/y) in June, supported by a pickup in the consumption of durables and non-durables, said the National Bank of Kuwait (NBK) in it

Trade Arabia

SEC, GE stress on long-standing partnership

23/07/2018

Saudi Electricity Company (SEC) and GE, in a statement, have stressed on the importance of their long-standing partnership for both the companies.

For almost 40 years, SEC and GE have par

Trade Arabia