Advanced Petrochemical approves equity investment in PDH plant with SK Gas
The Board of Directors of Advanced Petrochemical Company (ADVANCED), during its meeting on 8th Dhu Al-Qadah 1435H, (corresponding to September 3, 2014), approved the equity investment of 35% in PDH Plant with SK Gas, for the production of Propylene in South Korea through its subsidiary Advanced Global Investment Company (AGIC).
The company is owned 95% by ADVANCED and sources of AGIC equity participation will be announced later.
The total cost of the project is expected to be approx. US$ 1 billion (SR 3.75 billion); it will be financed 40% equity and 60% debt. The project has commenced the construction activities and it is scheduled to start up in the 1st half of 2016, with a nameplate capacity of 600,000 Metric Tons per annum.
The financial impact of above investment is expected after the commencement of commercial operation of the project in 2016.