Sabic abandons $1bn Osos talks
Posted: 14 April 2008
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Saudi Basic Industries Corporation (Sabic) has announced that it has pulled out of negotiations on taking a $1 billion stake on a petrochemical project after the parties did not reach a final agreement on the project.
In January, Sabic had agreed with Osos Petrochemicals in Yanbu Industrial City to consider taking a 35% stake in the joint venture polybutylene terephthalate (PBT) complex, the world's largest chemical firm.
“We would like to clarify that after several negotiations, the parties did not reach a final agreement on this project, and therefore Sabic has decided against participating in this project,” an official statement from the company said without citing further details.
Osos aims to produce engineering plastics and specialty products and plans to start production in 2010, according to its Web site. It also plans to sell shares in an initial public offering, Saudi Oil Minister Ali Al Naimi said in April 2006.
Sabic is one of the world’s 10 largest petrochemicals manufacturers. The company is among the world’s market leaders in the production of polyethylene, polypropylene and other advanced thermoplastics, glycols, methanol and fertilizers. |
