SABIC and Fujian Energy start construction on SABIC Fujian Petrochemical Complex
- Total investment estimated at RMB 44.8 billion (USD 6.4 billion).
- Expected annual ethylene capacity up to 1.8 million tonnes.
- Developed by a 51:49 JV formed in March 2022 between SABIC Industrial Investment Company and Fujian Fuhua Gulei Petrochemical Co.
- Project has entered full construction; commissioning preparation slated for H2 2026 and EPC contracts plus a project financing loan were signed.
Project overview
The SABIC Fujian Petrochemical Complex, located in Gulei Petrochemical Industrial Park—one of China’s seven national petrochemical hubs—will be an ethylene-focused facility with an estimated total investment of RMB 44.8 billion (USD 6.4 billion) and an expected annual ethylene capacity of up to 1.8 million tonnes. It is intended to meet growing demand for high-end chemical products and stimulate downstream investment.
Ownership and approvals
The complex is being 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 (held by Fujian Energy and Petrochemical Group). SABIC announced its final investment decision for the project in January 2024.
Schedule and execution
The project has moved into full execution and construction. Preparation for commissioning and start-up is scheduled to begin in the second half of 2026. EPC (Engineering, Procurement and Construction) contracts and a Project Financing Loan Agreement were signed in conjunction with the groundbreaking.
Stakeholder remarks
SABIC CEO Abdulrahman Al‑Fageeh attended the groundbreaking and described the complex as a landmark project for SABIC in China, reiterating the company’s commitment to invest in China, collaborate with local partners, support industry upgrading, provide solutions to customers and maximize shareholder value.
Source: sabic.com