A unit of Saudi International Petrochemical Co. (Sipchem) will start commercial operations at its ethylene-vinyl acetate (EVA) and low density polyethylene plant April 1.
Last year, Sipchem started testing the $800 million plant in Jubail, Saudi Arabia, which is owned by International Polymers Co. (IPC).
This will make 200,000 metric tons per year of polyethylene and EVA, which are two forms of plastics used in packaging and as a component in other products.
The plant is 75 percent owned by Sipchem. South Korea's Hanwha Chemicals Corp. owns the rest.
The impact of the plant's production will be reflected in Sipchem's second-quarter results, it said in a statement on March 30.
In December last year, Sipchem started testing another EVA plant in Hail, which it also shares with Hanwha Chemicals Corp.