SABIC close MBTE production unit in Jubail to perform maintenance

23. January. 2010
Argaam

Bulletin specialized in petrochemical industry said that Saudi basic industries Corporation (SABIC) have closed factory to produce methyl tertiary butyl ether (MTBE) in the Jubail industrial city in the eastern of Saudi Arabia, with a capacity of 700 000 tonnes per year from 20 January to perform maintenance operations.

Traders says according ICIS reoprt, that this step will create an MTBE shortage on the Asian continent to raise the prices because of deficiency of supply.

And maintenance operations is expected to continued to about 20 days and ends on 10 February.

No comment from till now from Saudi Petrochemical Corporation (SABIC).

Due to this maintenance work, MTBE product prices in Asia keeped between 820-840$ per tonne, as dealers, despite of oil derivatives prices retreated during the week.

On the other hand, it is expected to SABIC resume  production processes in another factory in Jubail to this product, with a capacity of 300,000 tonnes per year, in early of February,  note that the unit is closed for maintenance since the beginning of January, according to the bulletin.