Sadara, Veolia to build sustainable utilities facility in Saudi Arabia

Sadara, Veolia to build sustainable utilities facility in Saudi Arabia
The plant will be located in PlasChem Park, Jubail.
Published: 30 May 2018 - 3:43 a.m.
By: Jumana Abdel-Razzaq

Sadara Chemical Company (Sadara) has signed a memorandum of understanding (MOU) with Paris-based Veolia Middle East SAS to build a sustainable central utilities facility in Saudi Arabia’s PlasChem Park.  

The MOU provides a long-term waste management solution for Sadara, and creates an opportunity for Veolia to build a utility plant that includes waste management and waste energy facilities at PlasChem Park.

Investment and development of the project will be made by Veolia and potential partners, while Sadara will act only as facilitator to the project’s success and has agreed to transfer waste products to the plant,  

The project will also enable Veolia to manage a substantial portion of Sadara’s waste streams.

Dr Faisal Al-Faqeer, CEO at Sadara, said: “One of Sadara’s main drivers is the enablement of a vibrant downstream manufacturing industry in Kingdom.

“Another is to always act responsibly towards the environment. This deal allows us to combine those two key objectives, and we are very excited indeed to partner with Veolia to deliver this waste product management solution.”

The central utilities “island” will incinerate industrial wastes and recover the heat from this process to produce a usable steam by-product.

This will act as an incentive to attract PlasChem Park investors, providing their proposed manufacturing plants with third-party steam at an attractive price.

Additionally, the Veolia facility will produce cooled water and compressed air, which will also be made available to PlasChem Park tenants for industrial use.


Faisal Al Dawish, Veolia Arabia CEO, said:“We are very excited to be contributing our knowledge and experience to the further development of PlasChem Park, a truly exciting endeavor in Jubail Industrial City.

“This new utilities facility will implement environmentally responsible principles of the ‘Circular Economy’, a favored international economic model thatkeeps resources in use for as long as possible, extracting maximum value and then recovering and regenerating additional products and energy, a concept that we ascribe to wholeheartedly at Veolia.”

PlasChem Park is a collaborative effort between Sadara and the Royal Commission for Jubail and Yanbu (RCJY) in Jubail Industrial City II.

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