Saudi’s Advanced Global Investment Company (AGIC), an affiliate of Advanced Petrochemicals Company, has received the needed approvals from the Saudi Ministry of Energy to get the required feedstock for establishing a new plant, Mubasher reported.

The Saudi firm will establish propane dehydrogenation (PDH) unit and polypropylene (PP) unit in Jubail Industrial City. Each unit will have a production capacity of 750,000 tons per year.

The $1.8 billion units are scheduled to start operation by H2 2024.

A part of the produced propylene from the PDH unit will be used to establish an isopropanol (IPA) unit with a production capacity of 70,000 tonnes a year.

Moreover, the project will include the proposal for establishing polypropylene compounding (PP downstream) unit with a production capacity of 100,000 tonnes per year.

The IPA unit and the PP compounding unit will cost around $100 million and $40 million, respectively.