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Sadara and Veolia Sign Long-Term Agreement for Industrial Waste to Energy Facility in PlasChem Park

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JUBAIL, Saudi Arabia, December 11, 2018 – Sadara Chemical Company (Sadara), a Joint Venture developed by Saudi Aramco & The Dow Chemical Company and Veolia Middle East SAS (“Veolia”), a Paris-based group and world leader in resource management and recovery, have inked an agreement for the construction and operation of a sustainable industrial waste to energy facility in PlasChem Park, the unique industrial park adjacent to the Sadara Chemical Complex. PlasChem Park is a collaborative effort between Sadara and the Royal Commission for Jubail and Yanbu (RCJY) in Jubail Industrial City II.

The agreement was signed in Jubail, Saudi Arabia on December 09, 2018 at the Sadara headquarters in the presence of Dr. Faisal Al-Faqeer, CEO of Sadara and Sébastien Chauvin, CEO of Veolia Middle East.

The industrial waste to energy facility will be developed by Veolia under a Design-Build-Own-Operate model. As part of the agreement with Sadara, Veolia will treat among others, the identified Sadara industrial waste streams and recover energy to provide steam, cooling and instrument air to the industrial park. The Sadara/Veolia agreement follows an MoU signed earlier this year and solidifies plans to provide long-term waste management solutions for Sadara.

“This project is a key milestone for the development of Veolia in the Kingdom of Saudi Arabia and the journey towards a Circular Economy. The long-term partnership with Sadara is paving our ‘industrial symbiosis’ path, a model in which resources and energy are recycled and recovered, and it will bring the most advanced technologies to support the growth of PlasChem Park,” said Sebastien Chauvin, CEO of Veolia Middle East.

The development of the Industrial Waste to Energy facility by Veolia is a game changer for the Jubail chemical industry, providing a local, competitive, sustainable and reliable solution for industrial waste management as well as industrial utility supply for PlasChem Park.

“Since its inception, Sadara has been billed as an enabler of the Kingdom’s downstream manufacturing industry, based on our diversified product portfolio and the varied end-use manufacturing opportunities they enable. Part of this offering is the ability to lower the capital footprint required for investors and potential investors to set up their facilities in PlasChem Park, and this agreement is a huge step forward for those investors who have already broken ground, or who will soon be breaking ground in the Park,” said Dr. Faisal Al-Faqeer, CEO at Sadara.

“We are proud to participate in a project of this magnitude. It will contribute to the growth of sustainable business in the Kingdom and the creation of over 100 direct local jobs in Kingdom. We plan an extensive training program to develop local talent in the region.” said Faisal Al Dawish, CEO of Veolia Saudi Arabia.

Veolia, a global group, develops sustainable responsible services and expertise for companies in many types of industries.  It currently treats over six million tons of industrial waste worldwide.

In Jubail, Veolia group has a track record in the operation and maintenance of industrial wastewater projects and in delivering Engineering, Procurement and Construction (EPC) works – specifically, the Marafiq (800,000 m3/day) and the Sadara (178,000 m3/day) desalination SWRO plants.