Abu Dhabi National Oil Company (Adnoc) and Austrian chemical giant Borealis have jointly broken ground on the AED22-billion ($6.2 billion) fourth Borouge facility (Borouge 4) at the company's polyolefin manufacturing complex in Ruwais, UAE.
The expansion of Borouge 4 follows confirmation of the final investment decision in November 2021.
The new plant will enable the next phase of growth at the Ruwais Industrial Complex by supplying feedstock to TA’ZIZ, enhancing local industrial supply chains and boosting In-Country Value opportunities.
Scheduled to be operational by the end of 2025, the plant will produce 1.4 million tonnes of polyethylene, boosting the company’s total annual polyolefin production to 6.4 million tonnes, making Borouge the world’s largest single-site polyolefin complex.
The ground-breaking ceremony was attended by Sheikh Hamdan bin Zayed Al Nahyan, the Ruler's Representative in Al Dhafra Region, along with a high-level delegation of dignitaries and senior officials from the Abu Dhabi Government as well as Borouge shareholders, Adnoc and Borealis.
Minister of Industry and Advanced Technology and Managing Director and Adnoc Group CEO Dr Sultan bin Ahmed Al Jaber briefed the delegation on the Borouge 4 expansion project.
On completion, Borouge 4 will play a significant role in meeting the projected growth of customers’ demand for polyolefins in the Middle East, Africa and Asia as well has providing critical feedstock that will enable the TA’ZIZ Chemicals Industrial Chemicals Zone in Ruwais.
Sheikh Hamdan lauded Adnoc and Borealis for their combined efforts to drive further growth for Borouge while underlining the company’s role in advancing the petrochemicals industry to support the UAE’s sustainable economic development and diversification plans.
Dr. Sultan Al Jaber said the foundation stone laying of this world-scale project marks a major milestone in Adnoc’s downstream and industry expansion.
"We continue to receive strong interest from international and local investors who want to partner with us in growing and developing our downstream and petrochemical business in Ruwais. Borouge 4 will strengthen our domestic supply chain, while accelerating In-Country Value and boosting the UAE’s economic diversification, in line with the Leadership’s wise directives. In terms of sustainability, a study for a Carbon Capture unit that would reduce CO2 emissions has been initiated as part of the project," he added.
Borealis CEO Thomas Gangl said: "Borouge 4 is another milestone in the successful business journey and strategic partnership between Borealis and Adnoc."
"The new expansion embodies our mutual commitment to continue supporting our customers in the Middle East, Asia and Africa with differentiated polyolefins solutions that cater for their future ambitions in the energy, infrastructure, and advanced packaging industries," he added.
