Sadara Chemical Company has finalised additional funding of approximately US$10.5 billion (the Main Financing), the company said. The Main Financing supplements the approximately $2 billion raised through a Sukuk issuance in April, 2013, bringing the total Sadara project financing raised to approximately $12.5 billion, the largest project financing ever in the Middle East.
The company did not reveal details of the banks or funds with whom the agreements have been finalised with. The funds raised will be used for the construction and start-up of a world scale chemical complex in Jubail Industrial City II.
“We are truly pleased to see the very strong and positive response to Sadara from local, regional and global financial and government institutions,” said Luciano Poli, Chief Financial Officer of Sadara. “We are on track to deliver first products as expected in 2015 with the complex in full operation in 2016.”
Financial close of the Main Financing is expected to occur during the third quarter of 2013.
The Sadara chemical complex now being built in Jubail Industrial City II is the world’s largest ever built in a single phase. Comprised of 26 world scale manufacturing units, the complex will be the first in the Middle East to use refinery liquids such as naphtha as feedstock.
Located right next to the Sadara complex, PlasChem Park is a collaborative effort between Sadara and the Royal Commission for Jubail and Yanbu. It is meant to be an accelerator for KSA’s drive to create more value in the downstream sector.
