Rabigh 2 Delay, Cost Hike

The Petro Rabigh joint venture of Saudi Aramco and Japan’s Sumitomo has warned of a nine-month delay in starting up the Rabigh 2 petrochemicals complex and a SR1bn ($267mn) increase in project development costs.

Rabigh 2 will add 3.2mn tons/year of petrochemicals capacity at an existing refinery and petrochemicals complex at Rabigh on the Saudi Red Sea coast. The project involves expanding an existing 95mn cfd ethane cracker to process an additional 30mn cfd of ethane as well as 60,000 b/d of naphtha, while building new specialty chemicals and plastics units (MEES, 4 December 2015).

Petro Rabigh says that most of the infrastructure work for Rabigh 2 is complete and that the new facilities for power generation and water production have been operated. Work is underway to complete the expansion of the cracker during the first quarter of 2016.


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