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A project development agreement for a jointly owned petrochemical complex in the Special Economic Zone at Dugm (Sezad), Oman, has been signed by the Saudi Basic Industries Corporation (Sabic), a leading organization in diversified chemicals, along with the Omani energy company OQ and Kuwait Petroleum International (KPI).

In accordance with the agreement, the three parties will construct a natural gas liquid (NGL) extraction facility, a steam cracker, and related units together as part of the project.

In order to reduce carbon footprint, combine elements of the circular economy, and uphold strict environmental requirements, the project plans to use cutting-edge technologies.

According to a statement from Sabic, this massive project would promote the region’s development goals by optimising socioeconomic effects and adding value to these businesses.

The companies will conduct the required research and work together using their vast technical and business experience to produce the project with distinctive qualities that will make it lucrative for all three partners and competitive on a global scale.

To analyse the economic and technical feasibility studies for developing an integrated petrochemical complex with an existing refinery in Yanbu, SABIC, Sinopec, and energy tycoon Saudi Aramco signed a memorandum of understanding on December 18.

To examine the potential for combined investments in petrochemical projects in Poland and other European markets, SABIC and Saudi Aramco signed another preliminary agreement with Polish refining company PKN Orlen in November.

The company also declared during the same month that it intended to build a facility to transform crude oil into petrochemicals in order to take advantage of the rising demand.

As part of its USD 28 billion plan for significant expansion projects, Oman's state energy company OQ will continue to invest in a variety of industries, including petrochemicals.

Upstream activities and alternative energy initiatives are also among the company's planned projects.

These initiatives are just the beginning of Oman's commitment to decarbonization in order to achieve its objective of Net Zero by 2050.

The corporation sees a lot of potential in Oman and will concentrate its efforts exclusively on local economic development.

OQ contributes significantly to decarbonisation in Oman Vision 2040 on a number of fronts as we produce about 20% of emissions.

Additionally, they are at the vanguard of privatisation because they have a sizable asset base, and OQ will play a significant role in the alternative energy sector with its investments in green energy projects.

OQ and the Oman-India Fertilizer Company (OMIFCO) recently agreed to work together to examine the viability of producing blue ammonia in Sur.

Since OMIFCO is a resource with possibility and rising value for the anticipated decarbonisation initiatives, it is given high importance.

The market is quite dynamic and unpredictable; therefore, it is still too early to say whether these fears will come to pass even though there are numerous unfavorable headwinds that appear to be developing in 2023.

Where it recognises the long-term value, OQ will continue to invest in new businesses, cut expenses, and boost operational effectiveness. The 6–8 December are the dates for the Annual GPCA Forum in Riyadh, Saudi Arabia.

As per Procurement Resource, the Saudi Basic Industries Corporation (Sabic), a global leader in diversified chemicals, has inked a project development agreement for a jointly owned petrochemical complex in the Special Economic Zone at Dug (Sezad), Oman, with the Omani energy company OQ and Kuwait Petroleum International (KPI).  According to the contract, the three parties will work together to build a steam cracker, an NGL extraction facility, and ancillary units as part of the project.