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Chinese, Saudi groups plan new oil company
(menafn)
Updated: 2006-01-22 08:40

Three Saudi companies announced last week that they are about to complete forming a joint-stock petrochemical company with a Chinese partner, Arab News reported.

The Saudi group announced that part of the $1.76 billion company's capital will be offered in an initial public offering (IPO) and the rest will be distributed among the three companies and their Chinese partner, and the three Saudi companies are MIDROC, Sara Development Co. and House of Invention (HOI) Co.

The new company is set to establish an $6 billion petrochemical complex in the Jubail Industrial City, located in Eastern Province, and is expected to create 2,500 new jobs for Saudi nationals.

The production capacity of the new complex is expected to be two million tons of basic and secondary petrochemical products annually.



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