Borouge

COMPANY PROFILE

2015

Borouge

+971 2 6070300 | www.borouge.com

4.5 million tonnes of success Editorial: Ajuanne Payne

UAE petrochemicals giant and biggest producer in Abu Dhabi, Borouge, has been leading the polyolefin market in the region for over a decade. After recently completing its Borouge 3 expansion project, the company now owns and operates the world’s largest integrated single-site polyolefins plant and is all set for further growth and expansion in the years to come.

Borouge, founded in 1998, is a leading provider of advanced solutions in the fields of polyolefins, base chemicals and plastics. The company was founded as a joint venture by two majors in the global oil and chemicals industries – the Abu Dhabi National Oil Company (ADNOC) and Borealis.

Still owned by Gulf oil and gas

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company, ADNOC and Austrian chemical and plastics solutions provider, Borealis - Borouge is a seamless amalgamation of the expertise of the two and is ground-breaking in its field in the region, firmly positioned as an industry leader for plastics innovation.

Borouge is based in the United Arab Emirates with a head office

there and its marketing and sales office located in Singapore – positioning it to service its clients in the Middle East and South East Asia. Employing more than 3,000 people and with customers in 50 countries across the Middle East, Asia and Africa, Borouge has seen significant growth since its inception just over 15 years ago The company has built on

Borouge its Borstar® and Borlink™ technologies over the years to where they are able to offer comprehensive plastics solutions for infrastructure, automotive and packaging applications.

Borouge has plans to expand its commercial and logistics network in Asia and the Middle East and relating to its company mission of ‘Value Creation Through Innovation’, is investing in its innovation centre in Abu Dhabi and research and development application centre in Shanghai. With further growth on the horizon, the company can be comfortably assured that they will continue to be able to offer reliable and quality service to their global clients.

MANUFACTURING AND PRODUCTION With expansions planned and in action and geographical growth

continuing for the company, Borouge’s operations in Abu Dhabi are still central to their business.

Borouge invested US$1.2 billion to build their facility in Ruwais, 250 km west of Abu Dhabi City the first petrochemical production plant in the Middle East.

Equipped with the proprietary Borstar® technology from Borealis, at first the plant had a total manufacturing capacity of 450,000 tonnes per year (t/y).

In 2005, the facility encompassed an ethane cracker unit (EU1) built by Bechtel and Linde, and two Borstar® bimodal polyethylene units built

by Tecnimont (PE1/PE2) – both units with a maximum production capacity of 300,000 tonnes of bimodal polyethylene.

The annual 450,000 t/y production capacity was tripled in 2010 to 2 million t/y in the

Borouge 2 expansion. Investing a staggering US$5 billion in the developments, Borouge upgraded its facilities – installing an additional ethane cracker unit, third polyethylene unit, an olefins conversion unit (OCU) and two new polypropylene units, with the new polypropylene units enabling the company to expand into that area of production.

The Borouge 2 development greatly enhanced the company’s capabilities and is the precursor to the company’s more recent development. In order to meet demand and remain the leading player in the region, a further 4.5 million ton Borouge 3 development was planned in 2009 and scheduled for 2014, resulting in Borouge and Borealis having a combined annual production capacity of approximately 8 million t/y of polyethylene and polypropylene.

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THE BOROUGE 3 PROJECT Costing US$1.86 billion, the Borouge 3 project is a further expansion of the company’s petrochemical plant in Ruwais and includes installation of a third ethane cracker unit, built by the Linde Group and producing 1.5 million t/y of ethylene.

Two further Borstar® polyethylene units were installed, producing 1.08 million t/y, two polypropylene units producing 960,000 t/y and a low density polyethylene unit (LDPE), capable of producing 350,000 t/y and built by a joint venture between Samsung and Tecnimont.

The mega facility at Ruwais boosts total production capacity by a huge 2.5 million t/y to a total of 4.5 million t/y and is a continuation of strong technical partnerships with other major companies which the joint venture has fostered over the years.

Tecnimont, who was

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commissioned to build the polyethylene and polypropylene units, has worked with Borouge repeatedly almost since inception and has been involved in all three stages of construction and expansion in the Ruwais plant’s history – an example of just one of the long standing supplier relationships the company has built up.

Borouge 3 began production in the first quarter of 2014 and has had strong performance ever since, with materials being sold and exported across the wider Asian markets and the first shipment leaving its facility in October of 2014 by way of the Khalifa Port, Abu Dhabi.

As the country’s biggest petrochemical producer, the focus for Borouge, after a successful start-up at the end of 2014, will need to be on supply chain management and logistics. A company that is well

versed in the value of strategic partnerships, Borouge signed an agreement in June of 2014 with Abu Dhabi Terminals (ADT) for the construction and operation of a packaging facility for Borouge’s export products at Khalifa Port over and above export agreements that are already in place.

ADT manages the Khalifa Port and as the main route to market for Borouge, the company recognises the importance of having strong systems in place at the Port.

“Supply chain management is central to our growth,” explained Wim Roels, CEO of Borouge’s Marketing & Sales Company. “By investing in production capacity, commercial operations and research capabilities, we are well prepared to meet the growing demands and diverse needs of the markets we serve. Our goal is to make a sustainable contribution

Borouge and deliver a competitive edge to customers all over the world.”

After an initial start last year, Borouge 3 is scheduled to ramp up production at Ruwais to its maximum capacity of 4.5 million t/y by the end of 2015 and completion of this project means that Borouge now owns and operates the world’s largest integrated single-site polyolefins plant.

“There are phases of expansion and we have started some of the phases already,” said Mr Al Suwaidi, Vice President of Sales for the Middle East. “We have already supplied some of the new capacity to the market place.

“Borouge is a global leader in providing innovative solutions.

With the Borouge 3 coming on stream in 2014 and the opening of Borouge Innovation

Centre, Borouge will continue to develop and produce high quality productivity solutions to the highest industry standards while maximizing production output.”

Despite fluctuations in oil prices, Al Suwaidi expects demand for the company’s products to continue to rise, due in part to the economic growth in the region and the subsequent increases in demand resulting from that.

“There is a growing demand on plastics in the UAE on the long term, owing to economic growth,” explained Al Suwaidi. “There are many growth opportunities for companies both locally and globally.”

“The UAE makes up 25% of the Gulf’s plastic products industry has its more than 600 plastics plans across the seven emirates.

Borouge is the largest innovative, high-value plastics solutions provider in the UAE.”

A RESPONSIBLE PRODUCER As well as the company’s investments in its own capabilities and profitability, Borouge understands the importance of taking a vested interest in sustainability and the environment. As a leading operator in the chemicals industry, one of the potentially ‘dirtier’ sectors to operate within, Borouge is committed to its Water for the World™ initiative which addresses water and sanitation challenges.

The Water for the World™ programme is Borouge’s core corporate social responsibility project and is focused on three main ideals: ‘improving access to

Hyperion Group provides consulting & advisory services, systems engineering solutions and professional implementation services and support to process manufacturers worldwide.

We are proud to have contributed to the success of the Borouge-3 expansion project with the execution of the IT Strategy and IT Front-End-Engineering-Design Study, the creation, operation and successful handover of the Project Management Office (PMO) for all Borouge-3 IT projects as well as the delivery of the Real-Time Batch Tracking and On-Line Polymer Analysis solutions for the new production lines.

We extend our best wishes to Abu Dhabi Polymers Co Ltd for continued success!!

Website: www.hyperionsystems.net e-mail: info@hyperionsystems.net Contact Details: Hyperion Systems Engineering Group Stavros Spanos, EVP Marketing & Partnerships 38 Strovolos Avenue CY 2018, Nicosia, Cyprus Tel: +357 22840700 Fax: +357 22590009

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water and sanitation; promoting sustainable water management practices to preserve water resources; and raising awareness in communities and across the value chain’.

The programme has been running since 2007 and has directly impacted the lives of over 300,00 people globally. Connected to this initiative is the company’s partnership with national government organisation, Water and Sanitation for the Urban Poor (WSUP) which has so far helped a further 800,000 people in Africa and Bangladeh gain improved water and sanitation.

As well as understanding the importance of supporting sustainability initiatives, Borouge is heavily invested in the welfare of its 3,000 employees.

Like any successful company, Borouge is no different in recognizing that the

“Our goal is to make a sustainable contribution and deliver a competitive edge to customers all over the world”

development and satisfaction of its employees forms the backbone of its business and is key to its continued success.

Borouge provides employees with a range of career development programs and benefits, as well as providing local and international scholarships for students and potential future employees for the company and the polyolefin industry in general.

As a company, Borouge is by no means afraid to make the investments essential to growing its business and maintaining its leading position – both in capacity and the wellbeing of its staff. As the number one petrochemicals producer in Abu Dhabi and with the largest mega facility of its type, Borouge has dug in deep and established itself as one of the global players shaping the industry worldwide

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Neste Jacobs’ history in the Middle East goes way back to the 80’s, when the company was involved in petroleum refinery and chemical process industry projects in Saudi Arabia with Petromin (currently Aramco) and SABIC. In the 90’s Neste Jacobs was busy with the Borouge I project in Abu Dhabi and provided technology licensing to Oman Oil. These days Neste Jacobs is an active player in the Middle East technology, project management and engineering industry - bringing value to the market through its 60 years of experience and through the fact that the company was borne and founded at the center of the hydrocarbon industries. The company has always seen it as its main cornerstone to be involved right from the innovation, research & development through studies and FEED’s, project implementation and further, staying with its customers throughout the operation and maintenance.

Since 2011 Neste Jacobs has been registered in Abu Dhabi, UAE, currently has its offices on Al Hamdan Street, Abu Dhabi City, and employs some 100 engineers Jukka Hupanen locally, backed up by more than 1,000 experts and industry specialists at its home office. The customer base has widened and covers many ADNOC companies, such as Takreer, Borouge, and many more companies in Abu Dhabi, Dubai, Bahrain, Oman and Saudi Arabia, with whom Neste Jacobs works in partnership developing Gulf industries towards continued success.

“It is a strategic decision for Neste Jacobs to be locally present in the GCC region and Abu Dhabi is our home base there” says Jarmo Suominen, CEO of Neste Jacobs Group. “We are looking for growth and count on the fact that we can bring true added value to the oil and gas, refining and other chemical process industries through our vast and in-depth understanding of process industry technologies, investments and handson operational excellence.”

“Taking full advantage of current assets is important for local industry in the global market” says Jukka Hupanen, General Manager of Neste Jacobs Abu Dhabi & GCC Region. “Our portfolio, beginning with technology co-development and going all the way to commissioning and start-up and everything in between, is comprehensive. Our customers benefit greatly from the integrated approach that we can offer.”

Jarmo Suominen

Neste Jacobs is looking for further long term growth together with its customers in the UAE and GCC regions, by enabling the success of its customers.

Neste Jacobs is a preferred solution provider of high-quality technology, engineering and project services for a wide range of industries in the fields of oil and gas, petrochemicals, chemicals, biorefining, biochemicals, biopharma and industrial infrastructure. The company has 60 years of experience in technology development and industrial investment projects as well as maintenance and performance improvement in Europe, North and South America, Asia and the Middle East. In addition to its home market Nordic countries, Neste Jacobs is looking to grow in the global expanding markets. Neste Jacobs employs 1300 professionals globally.

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