Nukote and Building Technology Trading & Contracting Company (Bldgtec) are setting up a high-tech coating facility in Dammam with an initial investment of Dh37 million ($10 million).

Nukote is in a 50/50 partnership with Bldgtec for the state-of-the-art polymer blending facility and a turnover of Dh2.2 billion is being projected at full capacity.
Nukote Coating Systems International, a leading global provider of high-technology coating solutions for liquid distribution, storage and anti-corrosion systems, and Bldgtec, a leading Saudi contractor, announced the project.
The facility will produce some 90,000 tonnes per annum at full capacity.
“Nukote’s high-tech, high-capacity facilities have delivered the highest quality specialised coating products to the oil and gas industry for many years in the Middle East,” said Abdulah Al Shamrani, president, Bldgtec.
“Our partnership with Nukote is aimed at providing industrial organisations, be they into oil and gas, construction or infrastructure development, with readily available, high-grade coating solutions at lower prices.”
The new factory will initially produce for consumption in Saudi Arabia as well as some of the GCC countries, and at full capacity could cover many of Nukote’s Middle East clients and affiliates.
It will also include research and development, sales and technical support personnel.
The facility will produce, polyureas, polyurethanes (aromatic, aliphatic and polyaspartic aliphatic), ceramic metal polymers and primers and cover an area of 7,000 sq m.
At full capacity, the facility will generate $600 million per year.
“We expect to turn over around $50 million during our first year of operation and will employ up to 35 Saudi nationals to operate the facility,” said Michael Osborne, Nukote’s president and CEO.
“We are fully committed to increasing our local distribution and application capabilities by fully supporting the efforts of our regional distributors and applicators that are enjoying great success throughout the region.”
Nukote distributes its products through a global alliance of regional distributors. GCC distributors of Nukote products include Ahmed Mansoor Al A’Ali in Bahrain, Al Bader Group in Kuwait, Hitech Products in Qatar, Khimji Permoglaze in Oman and ADMI in Abu Dhabi.
Fosroc Global Holdings is the Master Distributor for Nukote with Al Gurg Fosroc representing Nukote in the GCC, Fosam Company Limited in Saudi Arabia and Fosroc Global Trading in other Middle East regions.
Nukote products are applied through a network of qualified application firms, which are trained and certified by Nukote.
Nukote additionally offers insurance-backed warranties to end-users that include the application work providing assurance to its clients that the products specified and applied will perform as required.
Local companies presently certified and applying Nukote products in the region include Horizon Coating Products (UAE), Dicotech (UAE/Qatar), Fameco (UAE), Al Ansari (Oman), Hitech Products (Qatar), AMA (Bahrain), Al Bader Group (Kuwait) and Fosam and BTT (both Saudi Arabia) among others.
“We are also finalising some strategic affiliations with firms in the GCC related to both commercial and manufacturing entities, the details of these new alliances will be released once they are consummated,” Osborne concluded.
The announcement comes on the heels of a similar deal between Ahmed Mansoor Al A’Ali Co. (AMA), one of Bahrain’s largest contracting companies, and Nukote to provide a ‘supply and apply’ advanced pipe-coating facility in Bahrain.
Nukote is a privately held corporation with an annual turnover in 2005 of $65 million.
The company develops and manufactures advanced polymer coating, liner and membrane systems utilised in petrochemical, industrial, infrastructure, manufacturing and civil construction markets, distributing them through a network of affiliated distribution and application firms globally. Nukote maintains its international headquarters in the Jebel Ali Free Zone, Dubai.