RIYADH: Saudi Arabia’s petrochemical sector is expected to see a banner year in 2022, amid rising demand and strong oil prices, CEO of a major petrochemical firm told Argaam.
Abdullah Alsaadoon, head of Sahara International Petrochemical Co. — also known as Sipchem — expects demand for the whole sector to boom, especially as oil prices continue to spike to record highs and pandemic-hit economies rebound.
He said he has seen a robust demand for petrochemical products this year.
“What distinguishes the company is its diversified product portfolio in most sectors, especially as the diversification is necessary to achieve strong and sustainable performance despite the challenges that may occur in certain sectors,” Alsaadoon added.
With respect to the ongoing Ukraine crisis, he said it poses no threat to Sipchem’s contractual obligations with European customers, but noted that the company will continue to monitor the situation closely.
Driven by rising demand, Sipchem reported an annual net profit increase of up to 1,942 percent to SR3.59 billion ($957 million) in 2021, with average selling prices soaring 87 percent.
In line with strong earnings, the company distributed its highest ever dividends of SR2.24 per share for the year.
