German Linde Group plans to invest around $380 million into a chemical complex being developed by Sadara Chemical Company, a JV between Saudi Aramco and The Dow Chemical Company, said a senior official.

The Linde Group is a world-leading gases and engineering company with around 50,500 employees in more than 100 countries worldwide.

The company also recently signed a long-term contract to supply Sadara with carbon monoxide (CO), hydrogen (H2) and ammonia (NH3) at the upcoming chemical complex in Jubail, Saudi Arabia.

Sadara will construct, own and operate the mammoth complex, which will be the world's largest chemical facility ever built in a single phase.

'This contract is an excellent opportunity from several perspectives,' said Prof Dr Aldo Belloni, a member of the executive board of Linde AG.

'It is Linde's largest on-site petrochemical project in this region, and our first in Jubail. It thus strengthens our position as a global leader in the generation and supply of carbon monoxide for MDI and TDI production plants at integrated chemical hubs,' remarked Dr Belloni.

The on-site gases supply contract includes a HyCO facility for the production of CO and H2 plus an ammonia plant, he stated.

Sadara will use carbon monoxide, hydrogen and ammonia primarily for the production of aromatics, isocyanates (MDI and TDI), amines and hydrogen peroxide, he added.

According to him, methylene diphenyl diisocyanate (MDI) and 2,4 toluene diisocyanate (TDI) are used in the production of polyurethanes  - an essential component in many products ranging from synthetic fibres through insulating foam and adhesives to mattresses and car seats.

According to him, the petrochemical industry is expanding rapidly in Saudi Arabia. 'We expect that this growth will give added momentum to the expansion of our gases and engineering business in the Middle East,' said Dr Belloni.

Linde's Engineering Division will design, deliver and construct the new turnkey gases facilities at Sadara's site in the Jubail 2 petrochemical cluster.

The company will be building a two-stream HyCO plant, plus a single-stream NH3 unit producing waterless liquid ammonia. These units will be ready in 2015.-TradeArabia News Service