RIYADH: Saudi Basic Industries Corp. (SABIC) said it signed two deals with Italian Montefiber, one for technology licensing and another for a new carbon fiber plant in Spain. Under the first deal, SABIC would use the technology for a new carbon fiber plant to be built in Saudi Arabia, the firm said in a statement. The two companies also signed a memorandum of understanding to conduct a feasibility study for a new carbon fiber plant in Spain, it added. It did not give a timeframe nor disclosed a value for the deals. The project in Spain, once complete, would supply at least 3,000 tons of industrial grade carbon fiber to serve emerging markets in the Middle East as well as internationally. It would be integrated with Montefiber's existing acrylic fiber site, would enable SABIC to develop more products and would bring it closer to its end-users, SABIC said. The petrochemicals giant said in April a new venture with Japan's Asahi Kasei Chemicals and Mitsubishi would help it diversify its petrochemicals portfolio to acrylonitrile butadiene stirene (ABS), carbon fiber, acrylic fiber and acrylamide. SABIC is carrying expansion projects in the kingdom and abroad. It said in May it plans a $1 billion-plus facility with China Petroleum & Chemical Corp (Sinopec) to tap China's robust demand for plastics. Separately, SABIC held a special meeting with local manufacturers in Jubail on June 12 to discuss ways of increasing the local content and technical capabilities needed to support the spare parts requirements of SABIC's affiliates in the Kingdom. The meeting was led by Abdullah S. Al-Rabeeah, SABIC Executive Vice President, Shared Services.
