LyondellBasell: Agreement to Acquire 35 percent of Saudi Arabia-based Natpet - Expansion of PP core business

LyondellBasell (LYB) recently announced it entered into an agreement to acquire a 35 percent interest in Saudi Arabia–based National Petrochemical Industrial Company (Natpet) from Alujain Corporation (Alujain) for approximately $500 million. Enabled by its Spheripol polypropylene (PP) technology, the joint venture positions LYB to grow and upgrade its core PP business through access to advantaged feedstocks, plus additional product marketing capacity, in a strategic region.

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Closing of the transaction is subject to regulatory and other customary closing conditions. Alujain and LYB are also assessing together potential construction of a new propylene via propane dehydrogenation (PDH) and PP facility at the Natpet site, subject to a final investment decision. The project is being studied with a shared goal to implement solutions that align with the Kingdom of Saudi Arabia's 2060 carbon reduction strategy.

Alujain is a petrochemicals, energy, mining and metals company in the Kingdom of Saudi Arabia. As majority owner of Natpet, the company is a longtime licensee of LYB Spheripol PP technology, one of the solutions it uses to operate a propylene and PP complex in Yanbu Industrial City. Natpet currently has an annual PP production capacity of approximately 400,000 tons.

More information: www.lyondellbasell.com

LyondellBasell, New York, USA