February 16, China Petroleum & Chemical Corp. (Sinopec, 600028.SH, 0386.HK) and Saudi Basic Industries Corporation (Sabic) have entered negotiations with the government of Trinidad & Tabago for a 5 billion dollar methanol complex to be built in the archipelagic state.
Sinopec and Sabic won approval from the government of Trinidad & Tobago after bidding against other international firms.
In a filing with the Saudi stock exchange, Sabic said the negotiations are meant to settle the terms of natural gas supply from Trinidad’s state oil company.
It did not set a deadline for the final agreement, and gave no details concerning the capacity of the methanol-to-olefin plant.
Sabic is 70 percent owned by the government of Saudi Arabia. It produces chemicals, fertilizers, plastics and metals used in paint, rubber, textiles, cleaning and other consumer goods.
Sabic and Sinopec have also signed an agreement to build a 1 billion dollar polycarbonate plant in China’s Tianjin, where the two companies have been operating a petrochemical joint venture since 2010.
