Saudi Basic Industries Corporation (Sabic) reported a record 2005 net profit of SR19.2 billion ($5.11 billion) compared to SR14.2 billion in 2004, an increase of 35 per cent.
The net profits in the fourth quarter of 2005 were SR4.5 billion.

"Sabic's profits in 2005 were the highest ever reported, exceeding the previous record profits reported in 2004 by 35 per cent," said Sabic Vice Chairman and CEO Mohamed Al-Mady.
"This is due to price increases in major products, a rise in overall production capacity to 46.7 million tonnes (nine per cent increase) and an increase in overall sales to 36.6 million tonnes, a nine per cent increase over 2004," he said.
The fourth quarter of 2005 experienced six per cent decrease in profits compared to the profits in the third quarter due to the difference in prices of some raw materials from different periods which have been charged to the fourth quarter, he said.
Al-Mady praised key successes in 2005 including the Standard & Poor's and Fitch Ratings assigning of Sabic a Corporate Credit Rating of A, the offering of Yansab shares for public subscription, the completion of the Fanar project in the third quarter of 2005 and the new United affiliate operating with full capacity, thus adding more value to the company's overall performance.
Al-Mady added that expansion projects currently under way are progressing on track and most of them are expected to be completed by the end of 2008.
The Sabic Board of Directors has recommended to the General Assembly distribution of SR23 per share dividend for 2005.
The Saudi Public Investment Fund (PIF) has given Sabic SR5.8 billion ($1.55 billion) in loans to help finance two major petrochemical projects, the finance ministry said.
The first loan, of SR4.0 billion, will be used to finance an ethylene, propylene and other petrochemical products for Sabic's subsidiary, Yanbu National Petrochemicals Company (Yansab).
Sabic awarded a contract for the Red Sea coast plant to French firm Technip in May. The project will cost SR18.3 billion, the ministry said in a statement.
The plant will start production in 2008 with an annual output of 1.3 million tonnes which will eventually rise to 4.0 million tonnes.
PIF, which helps finance large public ventures, also lent SR1.8 billion to Sabic's other subsidiary, Eastern Petrochemical Company (Sharq), the ministry said.
The funds will help finance the construction of new plants in the industrial city of Jubail, a 13.9 billion riyal investment to boost Sabic's annual petrochemical production by 2.8 million metric tonnes.
Sharq has signed contracts with Britain's Stone & Webster, South Korea's Samsung Engineering and Germany's Linde AG for the project which is expected to be completed by the first quarter of 2008.
Stone & Webster will construct a complex producing 1.3 million tonnes of olefins.
Samsung will set up a 700,000-tonne ethylene glycol complex, and Linde will build an 800,000-tonne high and low density polyethylene plant.