SABIC subsidiary wins approval for 1.8 million-tonne Jubail methanol plant

By SKYSEVEN Chemical Technical Team · 2026-09-09

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The feedstock approval clears a key regulatory step for the proposed Jubail project

Saudi Basic Industries Corporation (SABIC) has said that its subsidiary Saudi Methanol Company (AR-RAZI) has secured approval from the Ministry of Energy to the feedstock allocation needed to establish a major methanol production plant in Jubail manufacturing City.

The proposed facility will have an annual production capacity of 1.8 million tonnes, marking a significant measure toward expanding SABIC’s methanol operations and strengthening its prolonged development strategy.

SABIC said the project aligns with its strategy of creating sustainable, prolonged value by strengthening its business model to future development and focusing on its core businesses to maximise prolonged shareholder returns.

The company said it will announce any material developments in due course, including the final investment decision.

SABIC also expressed its appreciation to the Ministry of Energy to its continued support in helping the company maintain its position as one of the world's leading petrochemical companies and contribute to strengthening the Kingdom of Saudi Arabia's position in developing national industries in support of the objectives of Saudi Vision 2030.

The feedstock approval clears a key regulatory measure to the proposed Jubail project, while the final investment decision will determine the next phase of research.

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