Sadara seals off-take deal to supply Saudi-German JV with EO, PO

LONDON (ICIS)–Sadara Chemical has signed a deal to supply ethylene oxide (EO) and propylene oxide (PO) to SADIG-ILCO, a new Saudi-German joint venture focused on EO and PO derivative products, Sadara said in a statement late Tuesday.

Under the deal, SADIG-ILCO’s new PlasChem Park facility at Jubail Industrial City II in Saudi Arabia will offtake EO and PO from Sadara through pipelines being established by Sadara.

SADIG-ILCO is a joint venture between Saudi SADIG Industries and German specialty chemicals company ILCO Chemikalien.

SADIG develops and promotes downstream industries in Saudi Arabia. ILCO, based near Dusseldorf, develops and markets its own specialty products, and it distributes products for major chemical companies.

Sadara, for its part, is a joint venture between Saudi Arabian Oil Co (Saudi Aramco) and Dow Chemical.