Saudi Butanol gears up for Jubail plant trial operations

Updated 25 June 2015
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Saudi Butanol gears up for Jubail plant trial operations

JUBAIL: Saudi Butanol Company (SaBuCo) is preparing to start trial operations at its largest butanol plant in Jubail in the third quarter of this year.
Planned to be carried out for around six months, the trial operations will test equipment and production efficiency through technical licensing and contracts.
SaBuCo is a joint venture of Saudi Kayan Petrochemical Company, Sadara Chemical Company — a joint venture between Saudi Aramco and Dow Chemical Company — and Saudi Acrylic Acid Company (SAAC), an affiliate of Tasnee and Sahara Petrochemicals.
The new plant is expected to produce 330,000 tons of n-butanol and 11,000 tons of iso-butanol on a yearly basis, with an estimated investment of SR1.93 billion.
This joint venture of local petrochemicals aims to create added economic value through the efficient use of natural resources in the Kingdom to provide a new product based mainly on the support and development of local manufacturing industries.
The three partners in the joint venture will have equal stake in production quantities for use in manufacturing industries or for sales in local and overseas markets.
The butanol project will strongly support the coatings industry in the Kingdom. Potential investors can use the n-butanol and its derivates to introduce a wide range of coating products for the local, regional and global markets.
Located at Tasnee's petrochemical complex in Jubail, the butanol plant will enhance global competitive advantages for the national petrochemical industry, and Tasnee's integrated acrylates complex which is the first of its kind in the region.
SAAC is the biggest beneficiary of butanol project and its production capacity of acrylic acid is estimated at 160 thousand tons per year.
Moreover, SAAC production capacity of acrylic acid contributed to raise the Middle East share by nearly 6 percent amid growing global consumption per year and fierce competition from global producers, particularly Chinese producers that have registered significant increases in the production capacities reached 700 thousand tons in 2007 and 2 million tons in 2014.
The Middle East acquires 2 percent of the total global energy amounting to 5.1 million tons in 2013. China and North America hold half of the global production with 25 percent each, Western Europe 22 percent, Eastern Europe 1 percent, South and Southeast Asia 6 percent and North Asia 19 percent.


German economy ‘in better shape’ than thought in Q4

Updated 18 min 43 sec ago
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German economy ‘in better shape’ than thought in Q4

  • Destatis confirmed preliminary readings of 0.0 percent expansion between October and December, adjusted for price, seasonal and calendar effects
  • Europe’s powerhouse only just escaped a technical recession — two successive quarters of negative growth — in the second half of 2018

FRANKFURT AM MAIN: The German economy is “in better shape” than feared, analysts said Friday, after detailed data for the fourth quarter of 2018 showed a dashboard with few red lights despite flat growth.
Figures from federal statistics authority Destatis confirmed preliminary readings of 0.0 percent expansion between October and December, adjusted for price, seasonal and calendar effects.
“German economic growth has stalled,” the statisticians said in a statement, with the flatline in the final three months of last year following contraction of 0.2 percent between July and September.
That meant Europe’s powerhouse only just escaped a technical recession — two successive quarters of negative growth — in the second half of 2018.
Nevertheless, “the German economy is in a better shape than its current reputation,” economist Carsten Brzeski of ING Diba bank commented on the release.
Private consumption, government spending and investments all picked up, while both imports and exports grew at around the same pace, leaving the country’s trade surplus almost flat.
“None of the traditional growth components” were negative, Brzeski noted, arguing the data showed the massive car industry’s struggles to adapt to new tougher emissions tests were the main culprit for the slowdown.
Stocks of newly-built cars had piled up in the second and third quarter, he pointed out, before being finally delivered in the fourth after passing the so-called WLTP process introduced in September.
“Inventories were a massive drag” on growth in the final three months, Unicredit analysts agreed, calculating the effect slowed the economy by “a whopping 0.6” percentage points.
“The temporary problems in the car industry mask solid fundamentals,” Brzeski said.
“In a couple of months, the German economy should be able again to show its true colors.”