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Sat, Nov 09, 2024 | Jumada al-Awwal 7, 1446 | DXB
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Work on Dh22b Borouge-4 project on track
Borouge said that with the early works phase already underway the project is on track to be completed by 2025
The fourth expansion of Borouge’s integrated polyolefins complex in Ruwais, about 250km west of Abu Dhabi City, is one of the key pillars of Adnoc’s growth strategy.
The Dh22 billion Borouge-4 project in Ruwais launched early this year by Adnoc and Austrian chemicals manufacturer Borealis marked a construction milestone with the engineering, procurement and construction (EPC) contractors commencing work soon.
Borouge (Abu Dhabi Polymers Co. Ltd.) said in a statement that with the early works phase already underway the project is on track to be completed by 2025.
Sultan Zaid Al Shehhi, Borouge-4 project director, said the expansion project would enter its next phase of development with the construction of the infrastructure, which includes establishing the utility system, roadwork and associated civil works of the complex.
The fourth expansion of Borouge’s integrated polyolefins complex in Ruwais, about 250 km west of Abu Dhabi City, is one of the key pillars of Adnoc’s growth strategy, and will contribute to the continued development of the UAE’s downstream and industry sector, the statement said.
Last month, Borouge completed its listing on the Abu Dhabi Securities Exchange (ADX) raising gross proceeds of over $2.0 billion, marking the largest-ever listing on bourse. Based on the final offer price of Dh2.45 per share, Borouge’s market capitalisation at listing was $20.05 billion making it the sixth largest company on ADX. The blockbuster IPO attracted total demand of more than $83.4 billion and was oversubscribed by almost 42 times in aggregate
The Borouge-4 facility covers an area equivalent to almost 500 football pitches. It will utilise Borealis’ proprietary Borstar technology, to produce high-quality polyolefin solutions meeting growing customer demand across a range of industrial sectors, including infrastructure, energy, advanced packaging and agriculture throughout the Middle East, Africa and Asia Pacific, Borouge said.
The facility will create opportunities for UAE-based manufacturers to “Make it in the Emirates”. It will also supply feedstock for the Ta’ziz Industrial Chemicals Zone, which is catalysing the next phase of the UAE’s industrial growth.
“Borouge-4 is an enabler of Adnoc’s growth strategy and the UAE and Abu Dhabi’s industrial growth and diversification plans. We are proud to already be contributing to the ‘Make it in the Emirates’ programme, with more than 25 per cent of the total materials and equipment of the complex being ‘Made in the UAE,’
“We have safely completed 1.5 million man-hours to date, and with our UAE contractor, Al Asab, we look forward to successfully completing the early works phase,” said Al Shehhi.
Borouge’s first polythene unit was commissioned in 2001 and its capacity is 450,000 tonnes per annum.
Borouge 2 and 3, commissioned in 2010 and 2014, raised the capacity to two million tonnes and 4.5 million tonnes of polyethylene and polypropylene per annum, respectively. Borouge-4 will increase the company’s overall polyolefin production to 6.4 million tonnes, making it the world’s largest single-site polyolefin complex.
The construction milestone of Borouge-4 comes on the back of the company’s recent participation in the Make it in the Emirates Forum, hosted by the Ministry of Industry and Advanced Technology, in cooperation with the Abu Dhabi Department of Economic Development and Adnoc and the launch of the ADDED Industrial Strategy for Abu Dhabi.
“As a UAE industrial champion and enabler of the petrochemical industry, Borouge supports the local supply chain and contributes to the UAE In-Country Value (ICV) Programme, leveraging local purchasing power to grow the industrial sector,” the company said.
— issacjohn@khaleejtimes.com
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