Saudi International Petrochemical (Sipchem) announces that its affiliate International Diol Company (IDC) has signed an engineering, procurement and construction contract with eTEC of South Korea on July 14, to debottleneck and improve the efficiency and the reliability of its plant facilities.

The project cost for construction and licensing is planned at SR393 million.

The construction of project began on July 14 July and the project is targeted for completion during Q4 of 2014. Initial and commercial operation dates will be announced in due course.

The financial impact of the project, which will be announced in due course, will appear on financial results after commercial operation.

IDC had signed the financing arrangement for this debottlenecking as the second tranche of the financing agreement signed with Saudi Hollandi Bank and Saudi British Bank that was announced previously on March 31, 2013.