Sabic Agri-Nutrients Awards $3.5 Billion Contract to Samsung

Sabic Agri-Nutrients, a company 50 percent owned by Saudi Basic Industries Corporation (Sabic), has awarded a significant construction contract to South Korea's Samsung E&A. The contract, valued at $3.5 billion, is for the development of an industrial project in Saudi Arabia. This project will include an ammonia plant with a capacity of 1.2 million metric tonnes per annum, two urea plants with a combined capacity of 2.6 million metric tonnes per annum, and a post-combustion carbon capture unit. Construction is scheduled to commence in the fourth quarter, with commercial operations expected to begin in the third quarter of 2030. Various financing options are being considered, including securing loans and utilizing cash flows. The project is anticipated to increase Sabic Agri-Nutrients' urea production capacity by 54 percent to 7.4 million metric tonnes per annum. This initiative is part of the company's 2040 strategy to become a leading global producer and exporter of ammonia and urea. In March, the Saudi Energy Ministry committed to supplying feedstock for the new project. Sabic Agri-Nutrients' shares rose 0.4 percent to SAR126.30 on Thursday, reflecting a 14 percent increase year-to-date.