Sabic Metals has signed a contract with a consortium including the Korean Posco Engineering & Construction Company and Daewoo International for the design, manufacture, supply and installation of a flat steel painting facility within the company’s Hadeed complex in Jubail Industrial City.

This will have an annual production capacity of 120,000 metric tonnes to complement the existing flat steel production lines and the ongoing expansion projects. This new production line is expected to go live in November, 2006.
Sabic vice-president for metals and president of Hadeed Mohammed Al Jabr said: “This project is being implemented as part of Sabic’s expansion plans to strengthen its competitive capabilities in the global marketplace and enhance its leading position worldwide.
“It is worthwhile saying that the speed of this new production facility is 120 metres of painted flat steel products per minute.
“It will use the latest state-of-the-art technologies for polyester, fluorocarbon and plysystol on galvanised steel and aluminum and zinc coated steel.”
Daewoo International managing director Tai Tong Lee said: “We have had strong commercial ties with Sabic over the years in exporting Sabic Hadeed hot and cold rolled flat steel and galvanised products to the amount of $50 million annually.
“These products have been transported to various countries worldwide through the Daewoo International Office in Riyadh.
“The construction of this new facility will undoubtedly boost Sabic Hadeed’s economic growth.”
Additionally the facility is equipped with hot and decorative transparent packing facilities. These products are primarily used in household ceilings and appliances.
In 2004, Sabic Hadeed concluded contracts for the construction of a new plant for the production of 500,000 tonnes annual capacity of long steel products including; rebar and wire coils. Also, the company entered into other agreements to implement expansion of the hot rolled facility at the flat steel plant to double the production capacity from one million to two million tonnes annually. Sabic Hadeed expects to complete its expansion projects by the end of next year.
By the end of 2006, Hadeed’s capacity will increase to around 5.5 million tonnes of long and flat steel products.
Saudi Basic Industries Corporation (Sabic) is the largest non-oil company in the Middle East and the 11th largest petrochemicals manufacturer in the world. It is a market leader in the production of polyethylene, polypropylene, glycols, methanol, MTBE and fertilisers.