Saudi Paper Manufacturig Co (SPMC) has started production at a new plant in Saudi Arabia and plans to expand in the Middle East and North Africa, the company's top executive said on Sunday.

SPMC's chief executive Mubarak Al-Khater said the 50 million riyals ($13.3 million) plant, which has an annual production capacity of 25,000 tonnes of paper tissue, is expected to operate in full capacity within two years.

The company has a paper tissue manufacturing plant in the eastern city of Dammam that produced 25,000 tonnes last year.

"The company is looking at expansion opportunities in the Middle East and North Africa," said Khater without elaborating.

SPMC's first-quarter net profit rose to 22.6 million riyals almost unchanged from a the year earlier period which was 22.5  million riyals. - Reuters