By Cameron Chai
The Linde Group has recently inked a long-term supply agreement with Sadara Chemical. According to the contract, Linde will provide ammonia (NH3), carbon monoxide (CO) and hydrogen (H2) to Sadara at a chemical complex, which is being constructed in Saudi Arabia.
This chemical complex is built in a single stage. A HyCO facility, for CO and H2 generation, and an ammonia plant have been included the agreement for supplying on-site gases. Linde will invest an amount of USD 380 million in this petrochemical project. Sadara is a joint venture company that is formed by Dow Chemical and Saudi Arabian Oil.
The Engineering Division of Linde will specifically design and build the new turnkey gases plants at Sadara's Jubail 2 petrochemical cluster location. A single-stream ammonia facility that generates waterless liquid ammonia and a two-stream HyCO plant will be constructed by the company. Additionally, a huge ammonia storage tank will be installed by Linde and results in a sophisticated supply concept. The production units are expected to commence operation in 2015. The Gases Division of Linde will operate these units, after construction.
Sadara will initially utilize NH3, CO and H2 to produce isocyanates (MDI and TDI), amines, aromatics and hydrogen peroxide. A 2,4 toluene diisocyanate (TDI) and Methylene diphenyl diisocyanate (MDI) are used to produce polyurethanes, which become a significant element in several products.
Sadara will build, own and control an integrated chemicals facility in Saudi Arabia. The company will possess a differentiated product mix, most of which are locally manufactured.