Saudi Basic Industries Corp (SABIC) said on Sunday it had completed the formation of a joint venture with Korean petrochemical manufacturer SK Global Chemical Co to produce polyethylene products.

Total investment will be about $640 million for the technology and plant construction, SABIC said in a statement. The financial impact cannot be assessed yet, it said.

SABIC announced plans in May last year to operate the plant, recently completed by SK at its complex in Ulsan, South Korea, with an expected annual capacity of 230,000 tonnes. The venture will be based in Singapore.

Source: Reuters