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ADPC signs MoU with Borouge

ABU DHABI — The master developer of ports, industrial and trade and logistics zones in the emirate, Abu Dhabi Ports Company (ADPC) has signed an MoU with Borouge, the leading petro- chemical manufacturer to provide more facilities at its new port for smooth operations.

The MoU will see that during the design, development and subsequent operation of Khalifa Port, ADPC will ensure that sufficient land, storage facilities, infrastructure and services are made available at Khalifa Port to accommodate Borouge’s products and to assure the seamless transition of Borouge’s current port operations at Mina Zayed to Khalifa Port.

Borouge currently utilises Mina Zayed for a throughput capacity of 600,000 metric tonnes of polyethylene per year and will require the provision of port services for an increase in throughput capacity of approximately 2.1 million metric tonnes of polyolefin per year by 2010, once Borouge 2 expansion project is completed and to an ultimate throughput of 4.5 million tons by the year 2014, upon the completion of Borouge 3.

ADPC will ensure that the Port Operation shall make all the necessary arrangements to ensure that Borouge’s current production level and future increased production levels inclusive of Borouge 2, shall be effectively handled by Mina Zayed alone until the commencement and full operation of Khalifa Port.

Construction of Borouge 2 began in late 2007 and consists of an ethane cracker of 1.5 million tonnes per year, the world’s largest olefins conversion unit of 752,000 tonnes per year, two Borstar polypropylene plants with a combined annual capacity of 800,000 tonnes, along with a new Borstar Enhanced polyethylene plant with an annual capacity of 540,000 tonnes.

It is worth to note that the feasibility phase for Borouge 3 has started and is expected to be completed by the end of 2008.

Khalifa Port is part of ADPC’s multi-billion dollar flagship project. Khalifa Port and Industrial Zone (KPIZ) is one of the world’s largest green-field port and industrial zone development projects that will provide essential infrastructure for the growing industrial and commercial sectors of Abu Dhabi, as outlined in “Plan Abu Dhabi 2030.”

KPIZ will be a multi-purpose maritime facility that involves the construction of a world-scale container and industrial port in addition to the development of over 100 square kilometres of industrial, logistics, commercial, educational, and residential special economic and free zones. Approximately 4.6 kilometres off the shores of Taweelah, KPIZ is strategically located between the cities of Abu Dhabi and Dubai. KPIZ is a central plank of “Plan Abu Dhabi 2030”, and will play a major role in Abu Dhabi’s industrial and economic diversification in serving as a key hub for large scale

industrial investments.