JEDDAH, 23 May 2008 — Custodian of the Two Holy Mosques King Abdullah will launch 29 industrial and development projects worth more than SR68 billion in Jubail today, Prince Saud ibn Abdullah ibn Thunayan, chairman of the Royal Commission for Jubail and Yanbu announced yesterday.
He said the new projects belonged to the Royal Commission, Saudi Basic Industries Corporation (SABIC) and the private sector. He said King Abdullah’s current visit would give a shot in the arm to the twin industrial cities of Jubail and Yanbu.
Salman Muhammad Al-Jashi, a member of Alsharqia Chamber’s board of directors, said the government’s support to the economic and service sectors would play a big role in attracting foreign direct investment to the Kingdom, especially from the US and Europe.
“This will result in achieving sustained economic progress, creating more job opportunities for Saudis and improving the condition of both Saudi individuals and companies,” he added.
Al-Jashi said the Saudi economy has been making tremendous advancement in recent years. “It is heading to become one of the largest economies in the world within the next 10 years.” He said the growing private sector participation as well as privatization of public corporations would strengthen the Kingdom’s economy.
Al-Jashi called for introducing the successful experiment of Jubail and Yanbu industrial cities to other regions of the Kingdom. “Many people are wondering why this experiment is not applied in other parts of the Kingdom,” he said, adding that such a move would help draw more domestic and foreign investment to the country.
Prince Saud said King Abdullah would lay the foundation for four Royal Commission projects involving a total investment of SR7.1 billion. They are development of Matrafiya residential area at a cost of SR2.4 billion (which is designed to accommodate 11,000 people), development of the university city at a cost of SR500 million (to accommodate 18,000 students). The second phase of Jalmouda district project (SR1.4 billion) to establish 10,200 housing units, and the second phase of Jubail-II (SR2.8 billion) are other projects.
The SABIC projects to be launched by the king are: Expansion of National Industrial Gas Company (SR1.31 billion), expansion of Saudi Methanol Company (SR3.5 billion), Saudi Iron & Steel Co. (SR3.77 billion), Jubail United Petrochemical Company’s Linear Alpha Olefins plant (SR1.2 billion), and National Gas Company’s expansion project (SR1.28 billion).
King Abdullah will also launch the following private sector projects involving a total investment of SR50.2 billion. They include Saudi Polymers Company (Chevron-Philips) involving a capital investment of SR19.5 billion) and expansion of Saudi Aramco Shell Refinery (Sasref) with an investment of SR1.3 billion in addition to nine other projects worth SR7.2 billion.
Saudi Ethylene & Polyethylene Company (SR9.5 billion), Jubail Chevron Philips Company (SR4.9 billion), Advanced Polypropylene Company (SR2.9 billion), and Chemical Methanol Company (SR1.51 billion) in addition to five other projects worth SR2.2 billion will also be launched during the king’s visit.
This is King Abdullah’s second visit to Jubail in two years. In 2006, he launched the second Jubail Industrial City (Jubail-II) and laid the foundation for 22 mega industrial and development projects in the city involving a total capital investment of nearly SR224 billion.
