Advanced Petrochemical Co. has announced that Advanced Polyolefins Industry Co., a subsidiary company, has signed a loan agreement with the Saudi Industrial Development Fund (SIDF).
The loan agreement is valued at 3 billion Saudi Riyals ($800 million), and comes as a completion of the procedures and requirements stipulated by SIDF in the conditional loan approval.
The loan, which is repayable in 16 unequal semi-annual installments, will be used “to finance the construction of propane dehydrogenation and polypropylene plants,” according to a bourse filing.
Located in Jubail industrial city, the plants will have the capacity to manufacture 843,000 tons of propylene and 800,000 tons of polypropylene annually.