Sadara awards $3.7bn deal to Saudi utility company
Sadara Chemical Company, a $20bn joint venture between state-owned Saudi Aramco and Dow Chemical Company in the US, has signed a $3.77bn deal with Saudi Electricity Company to supply electric power to its chemicals complex in Jubail Industrial City.
The announcement came on Tuesday from Sadara Basic Services, a subsidiary of Sadara which was set up to issue sukuk, or sharia-compliant bonds, on behlaf of its parent company.The agreement has a 20-year renewable term.
Sadara's complex, currently under construction, is the world’s largest chemical complex ever built in a single phase, with 26 integrated world-scale manufacturing plants that will produce more than 3mn tonnes of products every year.
"At Sadara, we seek to create value through chemistry. At the same time, we are committed to contributing to the economic diversification and downstream development in Saudi Arabia," the company said in a statement on its website.