GCC & Middle East
Al-Hejailan Group and Dow's announcement to form a joint venture was covered by the leading newspapers & digital hubs across the GCC & Middle East, including the region’s leading business news portal Al Arabiya, Saudi Arabia’s daily publications Asharq Alawsat and Saudi Gazette and numerous trade outlets including Construction Week, ME Construction, Maaal, Zawya, Argaam and others.
The plant is expected to have a capacity of 40 000 tpy and will be built and operated by Al-Hejailan Group. The facility will utilize Dow’s manufacturing technologies and Dow will be responsible for the marketing of the plant’s production. Construction of the plant is expected to begin in 2021 and production is expected to come on-stream in 2023.
Faisal Al-Hejailan, chief executive officer of Al-Hejailan Group, said “At Al-Hejailan Group, we are excited about this investment, which fulfills an important milestone in our group’s overall strategy and drives towards the development of more robust and expansive downstream manufacturing capabilities in the Kingdom. It further strengthens our strategic partnership with Dow, as we work jointly to capture downstream opportunities that align with the Kingdom’s localization programme and the overall Vision 2030 program.”
“This investment further reinforces Dow’s commitment to serving the region and promoting the downstream industry in the Kingdom of Saudi Arabia,” said Howard Ungerleider, president and chief financial officer for Dow. “This strategic partnership with Al-Hejailan builds on Dow’s long-standing presence in the Kingdom and supports the long-term growth potential we see for Dow and our partners throughout the region.”
Al-Hejailan will be the majority shareholder in the new joint venture (JV) company, with a 75% stake, while Dow will hold the remaining 25%.