Al-Waha shuts PP plant on technical outage

Issue with Recycle Effluent Compressor (REC)leads to two week closure

The company expects a loss of $25m during the shutdown.
The company expects a loss of $25m during the shutdown.

Sahara Petrochemical Company declared that its subsidiary Al Waha petrochemicals Company has faced a technical fault in the Recycle Effluent Compressor (REC) at it's facility in Saudi Arabia's Jubail industrial city, leading to the interruption of production processes in all operating units, the company said in a statement.

Al-Waha produces polypropylene from its facility located in Jubail.

The company said that this shutdown will affect the sales adding that repairing the process would take two weeks, and expects operations to be back by earlier August.

Due to the emergency shutdown, the company said that it will miss the opportunity to produce 16,000 tonne of polypropylene, equivalent to $25.06m by prices currently prevailing in the third quarter which will affect the expected profits in the third quarter of this year.

The company said that it will conduct the scheduled maintenance during this shutdown, as it has already scheduled it for the month of July, adding that customers will be provided from available reserve stock during the downtime period.

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