Sabic green lights Chinese cracker

The Saudi Arabian petrochemical giant Sabic is moving forward with plans to build a $6.4 billion complex in Fujian Province, China. Sabic will own 51% of Sabic Fujian Petrochemicals; the rest will be held by Fujian Energy and Petrochemical Group. When it starts up in 2026, the complex will feature an ethylene cracker with 1.8 million metric tons per year of capacity. It will also have downstream ethylene glycol, polyethylene, polypropylene, and polycarbonate plants. Sabic’s parent company, Saudi Aramco, has been aggressively pursuing investment in China. Last year it bought a 10% stake in the up-and-coming Chinese petrochemical company Rongsheng. Saudi Aramco has been negotiating similar deals with other Chinese petrochemical makers and refiners. Additionally, Sabic, Aramco, and the Chinese state-owned chemical maker Sinopec have been mulling projects in China and Saudi Arabia.