en.Wedoany.com Reported - Saudi Basic Industries Corporation (SABIC, Riyadh, Saudi Arabia) and Rongsheng Petrochemical Co., Ltd. (Hangzhou, China) along with its wholly-owned subsidiary Rongsheng New Materials (Zhoushan) Co., Ltd. have signed a Project Development Agreement (PDA) to jointly advance the development of the Jintang New Materials Project in Zhoushan City, Zhejiang Province.
Under the agreement, SABIC and Rongsheng Petrochemical are evaluating a potential equity investment of up to 50% by SABIC in Rongsheng New Materials, positioning the project as a strategic collaboration between two leading global petrochemical companies. The agreement also establishes a framework for project development activities to facilitate a potential Final Investment Decision (FID).
Dr. Faisal M. Alfaqeer, CEO and Executive Board Member of SABIC, stated that the collaboration with Rongsheng Petrochemical reflects SABIC's vision of achieving growth and global expansion through strategic partnerships. The company continues to prioritize innovation, product portfolio upgrades, and sustainable value creation to strengthen its ability to serve global customers. SABIC looks forward to working closely with Rongsheng Petrochemical to evaluate and advance this opportunity, combining their respective strengths, capabilities, and expertise.
Xiang Jiongjiong, CEO and Executive Board Director of Rongsheng Petrochemical (Hangzhou, China), stated that this collaboration is a milestone partnership between Rongsheng Petrochemical and SABIC, and a model of win-win cooperation. This partnership enables two industry leaders to complement each other's strengths and combine forces to jointly develop and operate advanced chemical materials. In the current complex market environment, this alliance also provides a critical stabilizing anchor for the chemical industry, enabling both parties to offer more valuable and comprehensive product solutions to customers.
The Jintang New Materials Project aims to enhance production capacity for advanced chemical materials to meet the growing demand from key downstream industries in China and Asia. The project is expected to leverage world-class technology, integrated manufacturing capabilities, and operational excellence to enhance competitiveness, foster innovation, and create long-term value for all stakeholders.
