SHARQ Signs Letter of Intent

DAMMAM, 30 August 2005 — Eastern Petrochemical Company, SHARQ, signed letter of intent to award contract to Foster Wheeler to construct utilities within the third expansion of the company in Jubail. SHARQ is a joint venture owned equally by Saudi Basic Industries Corporation (SABIC) and SPDC Ltd., a Japanese consortium. Mohammad Al-Mady, SABIC vice chairman and CEO, said that the new expansion will add a total of 2.8 million MT annually to SABIC’s production and will further enhance SHARQ’s position as the world’s largest single producer of ethylene glucol and enhance SABIC’s global ranking. The agreement will cover engineering, procurement and construction of the plant.