Sadara Chemical Company has started operation of its mixed feed cracker (MFC), which can crack ethane as well as naphtha and will allow the company to produce a diversified range of plastics and chemical products
According to the company, the cracker, claimed to be the only one-of-its-kind in Saudi Arabia and largest in the MENA region, will allow Sadara Chemicals to help fill the existing gap of specialty chemical supply in the region.
Sadara Chemicals CEO Ziad Al-Labban said, “Starting up the mixed-feed cracker comes at an opportune time for our industry. There is a growing demand for specialty plastics and chemical products as the Kingdom, and through us the region, is actively seeking to diversify away from just extraction and refining further downstream to end-product manufacturing.”
The MFC is made up of 12 furnaces, out of which, seven will be used to crack ethane (gas) feedstock, while the remaining five will be used to crack naphtha (liquid) feedstock. Three of the five liquid furnaces are designed so that they can switch between gas and liquid feedstock. The MFC is one of 26 manufacturing units located in the US$20bn Sadara Chemical Complex in Jubail Industrial City II in Saudi Arabia. Of these units, 14 will deliver products that are completely new to being produced in Saudi Arabia, the company said.
The mixed-feed cracker will allow Sadara Chemicals to produce its own basic chemicals on-site, and these basic chemicals into a wide range of value-added plastics and specialty chemicals through the company’s other manufacturing units. The cracker also allows the company to adjust its production levels of chemicals between naphtha-based and ethane-based feedstock in accordance with market demand.
Al-Labban added that the proximity of Saudi Arabia to growing and emerging economies, its abundant natural oil and gas reserves, young and skilled workforce and relatively low production costs compared to other markets translated into greater efficiencies for regional downstream industries.
