Latest news with #MTBE
Zawya
05-08-2025
- Business
- Zawya
SABIC's Fujian complex, Petrokemya MTBE plant 'progressing on budget'
Saudi Basic Industries Corporation's (SABIC) Fujian complex in China and the Petrokemya MTBE plant are "progressing on budget", CEO Abdulrahman Al-Fageeh said in the financial statement for the second quarter 2025. The work on the projects is ongoing as per the planned schedule, he added. The construction of the Fujian complex commenced in February 2024, which is expected to be completed in 2026. The complex will generate a production value of 30 billion renminbi ($4.3 billion) per year in operations and over RMB 100 billion of upstream and downstream investments. The company's new MTBE plant at Petrokemya, Jubail, is the single largest MTBE production plant in the world, with nameplate capacity increasing to 1,000 kilotonnes per annum. Al-Fageeh said the company has advanced its digital transformation journey, deploying over 490 artificial intelligence (AI) models across manufacturing operations to enhance energy efficiency, planning, and emissions performance. The cost optimisation initiatives were launched in the first quarter of 2025 as part of SABIC's broader transformation programme. 'The program aims to deliver, by 2030, a recurring annual EBITDA impact of $3 billion from a combination of cost excellence and value creation,' the CEO said. SABIC maintains a full-year expenditure guidance in the range of $3 to $3.5 billion, Al-Fageeh said. The net cash position stands at 2.71 billion Saudi riyals as of 30 June 2025, compared to a net debt position of SAR 0.88 billion as of 31 March 2025. (Editing by Anoop Menon) (
Barnama
20-05-2025
- Business
- Barnama
PCG Demonstrates Resilience On Strength Of Diversified Portfolio
KUALA LUMPUR, May 20 (Bernama) -- PETRONAS Chemicals Group Berhad (PCG or the Group), today announced its financial results for the first quarter (1Q 2025) in the financial year ending 31 December 2025, against the backdrop of an increasingly challenging chemicals market. The Group sustained its operational performance with plant utilisation rate of 94% in 1Q 2025, comparable against 4Q 2024. Revenue grew 3% quarter-on-quarter to RM7.7 billion driven by higher average prices of urea, methanol, and polyethylene as well as improved sales performance in the specialties segment. Earnings Before Interest, Tax, Depreciation and Amortisation (EBITDA) rose 26% to RM892 million, supported by better spreads for urea, methanol, methyl tert-butyl ether (MTBE) and olefin derivatives, coupled with reduced operational costs. However, Profit After Tax (PAT) declined to RM18 million from RM539 million in the previous quarter, largely due to unfavourable foreign exchange movement.
Yahoo
06-05-2025
- Business
- Yahoo
Saudi Basic Industries Corp (SAU:2010) Q1 2025 Earnings Call Highlights: Resilience Amidst ...
Q : What are the expected savings from the initiatives implemented in the first quarter, and what is the timeline for capturing these savings? A : Salah Al-Hareky, Executive Vice President for Corporate Finance, explained that the restructuring and transformation initiatives launched in 2024 are progressing well. The manpower optimization resulted in a one-time cost of $300 million, with expected annual savings of $92 million. More detailed information on portfolio optimization will be provided in the second and third quarters of 2025. The company faces uncertainty in the global supply chain due to trade wars, which could impact future operations. SABIC's Shanghai plant was certified as a model green factory, and the Nansha plant achieved 100% green electricity usage, underscoring its commitment to sustainability. The SABIC Fujian Petrochemical Complex in China and the MTBE project in Saudi Arabia are progressing well, indicating successful project management and expansion efforts. The company won six Edison Awards, highlighting its dedication to innovation in Material Science, Green Energy Transition, and Clean Water, Food & Agriculture. For the complete transcript of the earnings call, please refer to the full earnings call transcript. Story Continues Q: How has the trade war impacted SABIC's volumes and demand, and what are the expansion plans in Saudi Arabia? A: Abdul Rahman Al Fageeh, CEO, stated that there have been no major interruptions to SABIC's supply chain due to trade wars. The Fujian Petrochemical Complex in China is progressing well, and expansions in Saudi Arabia, such as the MTBE project, are on track. Future expansions will be communicated as developments occur. Q: With elevated tariffs between the US and China, is there potential for a shift in Chinese demand from the US to Saudi Arabia? A: Abdul Rahman Al Fageeh noted that while there is uncertainty in global supply chains, SABIC has not experienced interruptions. The company is assessing opportunities to optimize supply chains and maintain reliable customer delivery. Q: How is SABIC planning to streamline its global footprint, considering growth in China and potential growth in Saudi Arabia? A: Salah Al-Hareky emphasized the focus on cost reduction and margin improvement. SABIC is repositioning its business in Europe and America and will provide more details in the second and third quarters. The company is also evaluating non-core assets for potential divestment to enhance shareholder returns. Q: What is the impact of the restructuring on SABIC's financial performance, and how does it align with the company's strategic goals? A: Salah Al-Hareky highlighted that the restructuring and manpower optimization are part of SABIC's broader transformation agenda, aimed at lowering costs and enhancing future returns. The initiatives reflect a disciplined approach to capital allocation and cost management, supporting long-term value creation. For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus.
Bloomberg
06-05-2025
- Business
- Bloomberg
Chinese Chemical Plants Shut as Tariffs Boost Costs, ICIS Says
Some Chinese producers of a chemical used to improve the quality of gasoline have suspended operations as the trade war with Washington raises the cost of feedstock supplied from the US. Shandong Lushenfa Chemical Co., Anqing Taiheng Chemical Technology Co. and Anqing Taifa Energy Technology Co. halted processing last month, according to price-reporting and analytics firm ICIS. The companies make methyl tert-butyl ether, or MTBE, which is derived from liquefied petroleum gases.
Zawya
05-05-2025
- Business
- Zawya
SABIC's growth projects progressing as planned: CEO
Saudi Basic Industries Corporation's (SABIC) growth projects are progressing according to plan, according to CEO Abdulrahman Al-Fageeh. The projects include the Petrokemya Methyl Tertiary-Butyl Ether (MTBE) plant in Jubail and the SABIC Fujian petrochemical complex in China's Fujian province. Additionally, SABIC commissioned the Ibn Zahr LTRS-1 project, which aims to enhance feedstock utilisation and reduce the carbon footprint, Al-Fageeh said in the company's first quarter 2025 financial statement. The CEO ruled out tariffs' negative impact on global demand and customer preference for its product portfolio, Aragaam, an Arabic financial portal, reported. (Editing by Anoop Menon) (
