Saudi Basic Industries Corporation (Sabic) has signed a Letter of Intent (LOI) with US Shaw Stone & Webster for the engineering, procurement and construction of a High Density Polyethylene (HDPE) plant at the Yansab affiliate, Yanbu.

Engineer Abdulrahman Al Fageeh, president Yansab, signed the LOI with Ebrahim Fatemizadeh, president-energy and chemicals of the Shaw Stone & Webster, in the presence of Sabic Vice-Chairman and CEO Mohamed Al-Mady.
Al Mady said, "I expect that Yansab will go on-stream by 2008 with an annual capacity of 1.3 million tonnes per year (tpy) of ethylene; 400,000 tpy of propylene; 770,000 tpy of ethylene glycol; 500,000 tpy of Linear Low Density Polyethylene (LLDPE); 400,000 tpy of High Density Polyethylene (HDPE); 400,000 tpy of polypropylene; 100,000 tpy of butene-1 and butane-2; 250,000 tpy of benzene, xylene and toluene compound.
"I believe that this large annual capacity will further enhance Sabic's position among the world's largest petrochemical companies," he said.