Rohm and Haas Company (NYSE:ROH) and Tasnee Sahara Olefins Company
(TSOC) of Saudi Arabia said today they will form a joint venture which
will produce 250,000 metric tons of acrylic acid and related esters in
Jubail, Kingdom of Saudi Arabia, beginning in 2011. These feedstock
materials will be used primarily to support the fast-paced growth of
Rohm and Haas´s water-based acrylic products in rapidly developing
economies. TSOC will have exclusive rights to sell a portion of the
acrylic acid products within the Gulf Cooperation Council countries of
Saudi Arabia, Bahrain, Qatar, Oman, Kuwait and the United Arab
Emirates.
"This is a wonderful day for Rohm and Haas," said Carol Eicher
Vice President and Business Director for the company´s Primary
Materials business. "This joint venture - Saudi Acrylic Monomer
Company - demonstrates our commitment to secure monomers at the right
place, at the right time, and at the right cost - in support of the
ongoing global growth of our acrylic portfolio." Eicher noted that the
Jubail facility is the first downstream chemical project of its kind
to be undertaken in the Middle East.
Saudi Acrylic Monomer Company will be 75 percent owned by TSOC; 25
percent by Rohm and Haas. Rohm and Haas will invest approximately $50
million for its equity stake in the venture, and will license its
technology for making acrylic acid. When completed, the plant in
Jubail will employ approximately 225 people.
Rohm and Haas will consume the majority of the plant´s production
to supply the needs of the company´s downstream businesses to make
products used in paints and coatings, adhesives, caulks, sealants
plastics additives, detergents additives and in industrial
applications, among others. Some of the plant´s production will also
be allocated for sale to external customers. TSOC and Rohm and Haas
will cooperatively market products to the Saudi, GCC, Middle East
Asia and European regions.
TSOC is comprised of Tasnee, one of the largest private industrial
companies in the Kingdom of Saudi Arabia, and Sahara Petrochemical, a
publicly traded Saudi joint stock company, with a history of
developing petrochemical projects in Saudi Arabia.
"We are pleased to be able to form this partnership with TSOC,"
said Raj L. Gupta, Chairman, President and CEO of Rohm and Haas, an
$8.9 billion specialty materials company. "These are well-known and
highly regarded firms. We are looking forward to a long and prosperous
relationship for all involved."
Rohm and Haas is the world´s largest supplier of acrylate and
methacrylates monomers. Its $2 billion Primary Materials business
operates a world-class acrylic acid and ester facility in Deer Park
Texas.
About Tasnee and Sahara Olefins Company
TSOC is a Saudi joint stock company established by Tasnee and
Sahara. It owns 75 percent of the Saudi Ethylene and Polyethylene
Company (SEPC). SEPC is establishing $ 2.5 billion cracker complex
which will produce one million tons of ethylene, 285KTa of propylene
and 800 KTA of polyethylene. SEPC is 25 percent owned by
LyondellBasell Industries.
About Rohm and Haas Company
Leading the way since 1909, Rohm and Haas is a global pioneer in
the creation and development of innovative technologies and solutions
for the specialty materials industry. The company´s technologies are
found in a wide range of industries including: Building and
Construction, Electronics and Electronic Devices, Household Goods and
Personal Care, Packaging and Paper, Transportation, Pharmaceutical and
Medical, Water, Food and Food Related, and Industrial Process.
Innovative Rohm and Haas technologies and solutions help to improve
life every day, around the world. Based in Philadelphia, PA, the
company generated annual sales of approximately $8.9 billion in 2007.
Visit www.rohmhaas.com for more information.
