Saudi Aramco, Dow sign agreement for Sadara Chemical Company joint venture
October 9, 2011
Saudi Aramco President and Chief Executive Officer Khalid A. Al-Falih and Dow Chairman and Chief Executive Officer Andrew N. Liveris signed the Joint Venture (JV) Shareholders’ Agreement for the Sadara Chemical Company in Dhahran yesterday.
Al-Falih delivered a speech in which he characterized the new Sadara venture as a “game-changer in the Kingdom’s petrochemical industry.” He reported, “Sadara is expected to deliver annual revenues of approximately $10 billion within a few years of operation while contributing significantly to Saudi Arabia’s industrial diversification.” Lauding the partnership between the two companies, Al-Falih declared, “As the world’s largest integrated and most reliable supplier of energy and petroleum-based derivative products, our strengths complement those of Dow, the world’s foremost chemicals company with a global track record and unique suite of chemicals technology.”
During his own remarks, Liveris noted that the joint venture is expected to generate thousands of direct and indirect employment opportunities. “By the end of 2011, Dow and Saudi Aramco are aiming to recruit hundreds of Saudi nationals as the first batch of technical trainees for competitive and unique manufacturing and engineering training programs,” he said. Production of a wide range of chemical products is expected to begin in 2015, he added.
The signing ceremony was attended by Minister of Petroleum and Mineral Resources and Chairman of Saudi Aramco Ali Ibrahim Al-Naimi; Minister of Finance Dr. Ibrahim Al-Assaf; Chairman of the Royal Commission for Jubail and Yanbu Prince Saud bin Abdullah bin Thunayan; and Advisor at the Ministry of Petroleum and Mineral Resources Prince Faisal bin Turki bin Abdulaziz.