RIYADH, 28 February 2007 — A leading South Korean company, Samsung Engineering, has won a $300 million contract from Saudi Basic Industries Corporation (SABIC) with job orders to be executed in a staggered schedule. Saudi Kayan Petrochemical Company, a SABIC’s affiliate, has awarded the contract and signed deals with Samsung Engineering and Simon Carves to build two petrochemical plants in the eastern region of Saudi Arabia.
“The total value of the deal between Saudi Kayan and Samsung Engineering alone will exceed $300 million and we have already received a letter of intent in this regard,” Shin-Youl Kang, vice president & resident director of Samsung Saudi Arabia Ltd (Samsung Engineering), said here yesterday. Kang said Samsung Engineering would build a top-class 350,000 tons per year polypropylene plant.
Britain’s Simon Carves would build another 300,000 tons per year low density polyethylene plant. Both plants would be built in the industrial city of Jubail, Samsung chief said. Kang said Samsung is currently executing projects, including this new polypropylene plant, worth over $3.3 billion in Saudi Arabia alone. “Our mission is to build number one plant, to use top minds and technological power and to render the best services,” Kang noted. “Samsung Engineering’s increasing presence across the globe including Saudi Arabia and the Gulf states is a testimony of its commitment and delivery of world-class services,” a Samsung statement said, adding that “the company is aligning operations to global standards and systematically linking with and upgrading the project execution procedure, risk management and technological advancement.”
“The hydrocarbon plant division of Samsung Engineering, in particular, will never stop in its endeavor to build strong confidence with clients,” it said. “The company mission is to achieve sustainable growth,” said the statement, adding that Samsung renews its promise to be a global engineering value-shaper, leading the new millennium with high value-added technology. SABIC, which has awarded the job to Samsung, is the world’s largest company by market value.
SABIC holds a 35 percent stake in the $10 billion Saudi Kayan firm. SABIC is helping to set up Saudi Kayan with Kayan Petrochemical Co. to produce base chemicals, mainly for export to Asian nations such as China and India, where growing economies are spurring high demand.
