Saudi Arabia’s Ministry of Commerce and Industry has signed a deal with Al-Mohtesham Trading to set up a SR100 million ($26.6 million) lubricant plant at the Jazan Industrial City, according to a report.

The plant will produce 2.4 million tonnes of lubricants annually, Faiz Mohammed, managing director of Al-Mohtesham, was quoted as saying in the Arab News report.

"This will be our third lubricant plant in the GCC. Other plants are in Dubai and Oman," he said while disclosing plans to expand his company's operations in Saudi Arabia, it added.