Saudi International Petrochemical Company (Sipchem) is a Saudi

joint stock company A joint-stock company is a business entity in which shares of the company's stock can be bought and sold by shareholders. Each shareholder owns company stock in proportion, evidenced by their shares (certificates of ownership). Shareholders are ...

owned jointly by private sector investors of

Saudi Arabia Saudi Arabia, officially the Kingdom of Saudi Arabia (KSA), is a country in Western Asia. It covers the bulk of the Arabian Peninsula, and has a land area of about , making it the fifth-largest country in Asia, the second-largest in the A ...

and GCC countries. The company is the subsidiary of

Zamil Group Holding Zamil Group Holding (Arabic شركة مجموعة الزامل القابضة‎) is one of the largest investment holdings in Saudi Arabia with headquarters in Al Khobar, Saudi Arabia. Several of its subsidiaries such as Zamil Steel Company, S ...

. It was incorporated on 22 December 1999 with a paid-in capital of SR 500 million. The

share capital A corporation's share capital, commonly referred to as capital stock in the United States, is the portion of a corporation's equity that has been derived by the issue of shares in the corporation to a shareholder, usually for cash. "Share capita ...

was initially increased in 2003 by issuing 3 million shares, thereby raising the capital to SR 650 million. Subsequently, in April 2005 the share capital was further raised for the second time by SR 850 million, resulting in a total share capital of SR 1,500 billion. Sipchem has chosen

Jubail Jubail ( ar, الجبيل, ''Al Jubayl'') is a city in the Eastern province on the Persian Gulf coast of Saudi Arabia, with a total population of 684,531 as of 2021. It is home to the largest industrial city in the world. It is also home to th ...

Industrial City to build its industrial complex for producing various chemicals because this city is considered one of the leading industrial areas in the world, having all necessary infrastructure for such large projects. The availability of raw materials in the Eastern province, the presence of

Saudi Aramco Saudi Aramco ( ar, أرامكو السعودية '), officially the Saudi Arabian Oil Company (formerly Arabian-American Oil Company) or simply Aramco, is a Saudi Arabian public petroleum and natural gas company based in Dhahran. , it is one of ...

that supplies required

feedstock A raw material, also known as a feedstock, unprocessed material, or primary commodity, is a basic material that is used to produce goods, finished goods, energy, or intermediate materials that are feedstock for future finished products. As feedst ...

s at very competitive prices and in large quantities, the ease of export from the city via KFIP and its relative proximity to South Eastern

Asian countries This is a list of sovereign states and dependent territories in Asia. It includes sovereign state, fully recognized states, states with limited but substantial international recognition, ''de facto'' states with little or no international recogn ...

to which most

petrochemical Petrochemicals (sometimes abbreviated as petchems) are the chemical products obtained from petroleum by refining. Some chemical compounds made from petroleum are also obtained from other fossil fuels, such as coal or natural gas, or renewable sou ...

s are exported, are other reasons for this choice.

References

External links

Sipchem website
{{DEFAULTSORT:Saudi International Petrochemical Company Energy companies established in 1999 Companies based in Khobar Companies listed on Tadawul Companies of Saudi Arabia Petrochemical companies Saudi Arabian brands Saudi Arabian companies established in 1999

See also

References

External links