The owners of the UAE's Borouge polyolefin plant have inked a $3.5 billion contract to expand the facility, making it the world's largest plastics plant of its sort.
The contract for the Borouge 4 facility, which will be built at the current complex in Ruwais, has been granted to Italian oil and gas engineer Maire Tecnimont, according to the business.
The new factory, a joint venture between Abu Dhabi National Oil Company and Austrian chemicals company Borealis, would increase polyolefin production to 6.4 million tonnes by 2025.
Polyolefin is used to manufacture industrial-grade pipelines, cables, films, and personal protective equipment, among other things.
The Abu Dhabi Polymers Company has secured three engineering, procurement, and construction contracts with Maire Tecnimont.
The construction of two polyethylene units, each with a capacity of 700,000 tonnes per year, is one of them.
The project would also entail engineering and construction work, equipment and material delivery, as well as "commissioning and startup help," according to the Italian company.
"Our portfolio of digital solutions, along with our technology-driven process knowledge, will assure the highest plant asset optimization and the finest ecologically performing standards," stated Pierroberto Folgiero, CEO of Maire Tecnimont Group.
ADNOC and Borealis agreed to extend the Borouge complex for $6.2 billion last month.
It's possible that the unit will be operational in time for the start of Borouge 4.
The first Borouge plant went online in 2001, with Borouge 2 following in 2010 and Borouge 3 following in 2014.
Polypropylene, polyethylene, and polyolefin plastic are all produced at the complex.