JEDDAH, 3 October 2006 — The Makkah Petrochemical Industries Co. (Mak.Pet.), which is under construction, will launch 30 percent of its shares on the initial public offering (IPO) in the first quarter of next year.
Muhammad Abul Hasan, a consultant for the founding committee of the company, said, “An action team comprising national and foreign experts are working to complete the formalities of the establishment of the SR6 billion company shortly. It has reached an advanced stage of installation prior to its commissioning. All the licenses and endorsements are in place.”
Hasan said the company will serve the long-term interests of the nation and the people as it will be manufacturing an essential component in the production of some of our most commonly used industrial and consumer products.
The products of the company are required for manufacture of various plastics, coatings, adhesives, floor polishes and paints as well as threads, textiles and furniture. The acrylic acid is also used to produce polyacrylic acid, or cross-linked polyacrylic acid compounds, which have been used in the manufacture of hygienic products, detergents, and wastewater treatment chemicals. “More over, the company will also offer plenty of job opportunities for the Saudi youth at various levels,” Hasan said.
Jaza ibn Hilal Al-Osaimy, member of the founding committee for Mak.Pet. and director general of the Advanced International Investment Company, said the company is allied with the Energy Allied International, which is one of the leading US-based consultancy company in the field of petrochemicals and experienced in installing several petrochemical companies in the region, for the selection of the best strategic partners in establishing, commissioning and running the plants besides marketing the products internationally. The company’s board of directors has received several offers for strategic partnership and will be shortly selecting the best offer.
Makkah Petrochemical Industries Company will be another addition to the country’s industrial development and is expected to play a significant role in supplying the raw material for several other industries.
Mike Nasar, chairman of the board of directors of the Energy Allied International, said that the increasing demand for the acrylic acid will provide the Mak.Pet. a great opportunity for further development and make the Kingdom the highest producer of the chemical in the world.
