Dow Chemical Co. has disclosed plans to build and operate a USD 20 billion Saudi Arabian chemicals complex in partnership with Saudi Arabian Oil Co. Both companies believe that this move will create one of the world’s largest integrated chemical facilities. Construction on the complex is set to commence immediately, with the first production units coming on line in the second half of 2015. All 26 manufacturing units in the complex are expected to be fully operational by 2016. The two companies estimate that Sadara Chemical Co., as it would be called, will generate annual revenue of roughly USD 10 billion within a few years of operation. Sadara will become an equal joint venture between Saudi Aramco and Dow after an initial public offering. The USD 20 billion investment for the project includes third-party contributions.
