Sadara Chemical Company and E. A. Juffali & Brothers, a privately-owned Saudi company, have signed a second supply agreement, this time for Butyl Tri-Glycol ether (BTG), following the successful execution of an MDI supply agreement in July 2015.

With this new agreement, Sadara will supply BTG to one of the new plants that will be built in the planned Juffali chemical production complex to be based among other plants in PlasChem Park in Saudi Arabia’s Jubail Industrial City II.

The new Juffali complex will consist of several manufacturing plants designed to produce highly differentiated chemicals and products slated for use in Saudi Arabia’s various industries.

Some of the plants will receive a direct feed of Sadara’s products, namely the MDI plant and the BTG plant that have been announced thus far, while other plants will rely on raw materials provided by other suppliers. The PlasChem Park where the new Juffali complex will reside, among other downstream manufacturers, is adjacent to the Sadara Chemical Complex and covers a 12 square kilometer area.

It is described as a unique industrial platform and a collaborative effort between the Royal Commission for Jubail and Yanbu (RCJY) and Sadara, and is positioned for the development of new value added downstream manufacturing and business opportunities.

“One of our objectives at Sadara is to encourage and drive collaboration with local industries with the aim of developing the downstream chemical business. This BTG supply agreement is yet another milestone achievement between Sadara and Juffali,” Sadara’s Value Park Director Mohammad Alazzaz said.

The Juffali BTG project will produce auto brake fluids to meet the local and regional demand, and can reduce or even eliminate the import of these products and enhance the value derived from chemical production in the local economy.