16 September 2014
ABOUT SK GAS
DETAILS
Further to the announcement published on
Tadawul's website on 04-09-2014 related to approval of
Advanced Petrochemical Company (ADVANCED)
for Equity Investment in PDH Plant with
SK Gas
for the Production of Propylene in South Korea,
ADVANCED announces that
its subsidiary, Advanced Global Investment Company (AGIC),
which is owned 95% by ADVANCED,
has signed on Thursday (September 11, 2014)
a joint venture agreement with
to establish
SK Advanced Co. Ltd. (JV Co.)
in Ulsan, Korea
for the production of Propylene (PDH Plant).
The total cost of the PDH Plant is expected to be
approx. US$ 1 billion (SR 3.75 billion) and
the project will be financed
* 40% by equity from shareholders and remaining
* 60% will be financed by the JV Co.
through borrowing from lenders.
AGIC will own 35% equity stake
which will be financed by Advanced.
The project has commenced the construction activities and
the PDH plant is scheduled to
start up in 1st half of 2016,
with a design capacity of 600,000 Metric Tons per annum.
The financial impact of above investment is expected
after the commencement of commercial operation of
the PDH Plant in 2016.
Any Additional Information will be announced
in due course.
WWW.CHEMWINFO.COM BY KHUN PHICHAI
