DL E&C

Daelim Wins Project to Build Saudi Arabia’s USD 300 Million Petrochemical Plant
Building Saudi Arabia’s First-Ever Butanol & Syngas Plant

Daelim announced on Jan. 10, 2013 that it won the project to build a petrochemical plant worth USD 294.87 million (KRW 313.4 billion) together with its local subsidiary, Daelim Saudi Arabia. Ordered by Saudi Butanol, this project involves constructing a large-scale petrochemical plant that can produce 350,000 tons of butanol annually and 28,400㎥of syngas per hour.  

To date, the initial contract on the pre-construction carried out prior to the main construction has been signed. Within 6 months, the contract is scheduled to be converted into a lump sum turnkey mode contract, through which Daelim will be responsible for engineering, equipment purchase, and construction. The construction site is located within the Al-Jubail Industrial Complex in the eastern part of Saudi Arabia. The construction is expected to take 28 months and is slated to be completed by May 2015. Produced using syngas as raw material, butanol is widely used for medicine, spice, raw material of acetic acid and butyl acetate, and refining of alcohol and solvent of paint.

The butanol and syngas production plant is the first-ever project carried out in Saudi Arabia and is ordered by Saudi Butanol, a company jointly established by Saudi Kayan and Sadara – Saudi Arabia’s state oil companies – and Sahara and Tasnee as Saudi Arabia’s largest private companies. The project proves that Daelim’s project-performing capabilities and technological prowess have been acknowledged by a major company in Saudi Arabia.

Saudi Arabia requires the strictest and toughest process management and construction qualifications since it is the world’s largest plant market. The world’s top plant builders compete fiercely with their differentiated technological capabilities in the Saudi Arabia market. Daelim is regarded as Saudi Arabia’s reliable plant building partner, due mainly to its outstanding technological prowess and project management competency. Daelim is and will be implementing 10 projects worth USD 7.5 billion in Saudi Arabia alone including this project. 

According to Daelim President Lee Cheol-gyun, the company’s project-performing capabilities have been acknowledged once again by winning this project ordered by a big company in Saudi Arabia.