News from Notch Consulting, Inc.

May 15, 2011

Continental Carbon to Provide Technology for SABIC/ExxonMobil Carbon Black Joint Venture

Filed under: Carbon Black — Notch @ 7:06 pm

Al-Jubail Petrochemical (KEMYA), a 50/50 joint venture between Saudi Basic Industries (SABIC) and ExxonMobil Corporation, has signed a long-term technology licensing agreement with Houston-based Continental Carbon Company. Under the agreement, Continental Carbon, which is a subsidiary of Taiwan-based CSRC, will provide technology related to the construction and operation of a new greenfield carbon black plant at KEMYA’s petrochemical complex at Al-Jubail, Saudi Arabia.

In addition to the technology agreement, KEMYA and Concarb have also signed a long-term product off-take agreement in which Concarb will market part of the production of the new carbon black plant to the local and international tire industry. The final decision to implement the carbon black project requires the approval of KEMYA’s Board of Directors.

The project will also include a synthetic rubber plant, with a total capacity of 400,000 tonnes per year to serve emerging local and international markets in Asia and the Middle East. Goodyear Tire & Rubber will provide technology for the production of SBR and polybutadiene rubber. The project also includes the establishment of a vocational training center and product application development and support center, aligned with Saudi Arabia’s National Industrial Clusters Development Program to grow and diversify the manufacturing sector in Saudi Arabia.

KEMYA also awarded FEED contracts to Jacobs Engineering Inc. and Mitsui Engineering & Shipbuilding for process units and to Fluor Transworld Services Inc. for associated support facilities.

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