KBR Inc. has secured a contract from Saudi Basic Industries Corp (Sabic) Fujian Petrochemicals to license KBR's phenol technology in China.
KBR said in a news release it will provide technology licensing and proprietary engineering design for a 250 kilotons per annum (KTA) phenol plant at Sabic’s Fujian Petrochemical Complex. The final investment decision for the project was announced in January, with expected completion in 2026.
“We are excited to offer our industry leading phenol technology to Sabic Fujian for this ambitious project in China,” Jay Ibrahim, President for KBR Sustainable Technology Solutions, said.
“KBR’s market-leading phenol technology increases our customers’ competitive advantage and advances their sustainability objectives through superior efficiency, reliability, wastewater recovery and performance,” Ibrahim noted.
According to the news release, KBR's phenol technology offers a sustainable and differentiated solution through reduced energy consumption and improved yields.
KBR describes itself as a global technology licensor and it has offered its leading phenol technology for over six decades, with more than 50 phenol projects completed worldwide. It delivers science, technology and engineering solutions to governments and companies around the world.
In a separate news release, Sabic stated that the Sabic Fujian Petrochemical Complex is located in Gulei Petrochemical Industrial Park, which is one of the seven national petrochemical hubs in China. It will be built by Sabic FUJIAN Petrochemicals Co. Ltd, a 51/49 joint venture established in March 2022 between Sabic Industrial Investment Company (wholly owned by Sabic) and Fujian Fuhua Gulei Petrochemical Co., Ltd. (holding by Fujian Energy and Petrochemical Group).
The Sabic news release further added that the project marks a “significant milestone” in cross-regional cooperation between Sabic and Fujian Energy Petrochemical.
With an estimated total investment of $6.4 billion (RMB 44.8 billion), the project is scheduled to start the preparation for commissioning from the second half of 2026, with an expected annual ethylene capacity up to 1.8 million tons. The project aims to meet growing demand for high-end chemical products in the market and among customers, while stimulating downstream investment opportunities, Sabic said.
“The Sabic Fujian Petrochemical Complex is a landmark project in our development in China and testament to Sabic’s ambition to become the world’s preferred leader in chemicals. As we embark on a new chapter, we remain fully committed to providing effective solutions to our customers, maximizing shareholder value, and supporting industry upgrading,” Sabic CEO Abdulrahman Al-Fageeh said.
“China - as one of the key major petrochemical markets globally - is also a very crucial and strategic market for Sabic. By leveraging our unique strengths, Sabic will continue to invest in China and collaborating with our local partners to contribute to the country’s high-quality sustainable development.” Al-Fageeh added.
According to Sabic Fujian Petrochemicals website, the company ranks among the world’s largest petrochemicals manufacturers. Sabic is a public company based in Riyadh, Saudi Arabia. 70 percent of the Sabic Fujian Petrochemicals shares are owned by Saudi Aramco, with the remaining 30 percent publicly traded on the Saudi stock exchange, the website noted.
Sabic in January made a final investment decision (FID) on the Sabic Fujian Petrochemical Complex, or Sino-Saudi Gulei Ethylene Complex Project, in China’s Fujian province, according to an earlier statement.
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