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Borouge

Petrochemicals

Latest Borouge DevelopmentsAI Insights

Borouge reported a net profit increase to $281 million for the first quarter, attributed to a rise in production and revenue levels. Sales volumes grew by 10 percent year on year driven by demand in Asia Pacific and the Middle East. Production volumes increased 7 percent year on year as polyethylene and polypropylene sales saw significant growth.1

Borouge has announced plans to expand its annual production capacity to more than 6.6 million tonnes by 2028. The expansion involves contracts with Linde Engineering and Target Engineering Construction, aiming to boost the capacity of its ethane cracker and two polyethylene units.2

In addition the company has entered a long-term partnership with Adnoc Logistics & Services to enhance petrochemical exports. This partnership is set to achieve a minimum guaranteed revenue of $531 million, contributing to the next phase of Borouge’s growth and realising over $50 million in cost savings in the initial five years.3

Net earnings at Borouge in 2024 increased to $1.2 billion due to higher turnover and reduced financing costs. The proposed merger with Borealis is anticipated to lead to acquisitions in future growth opportunities.4

Annual revenue for Borouge in 2024 rose by 4 percent while total costs improved by 2 percent. The Borouge 4 project is poised to enhance production capacity by 28 percent, with expected annual revenue increases.5

Borouge Overview

Borouge, the Abu Dhabi-listed and headquartered petrochemicals, plastics and polymer manufacturer was established in 1998.

It is owned by Abu Dhabi’s Adnoc, with a 54 per cent stake, and Austrian plastics maker Borealis Group, with a 36 per cent stake.

In 2022, a 10 per cent stake in the company was listed on the ADX, raising $2 billion.

Employing more than 6,000 people and operating in both Abu Dhabi and Singapore, Borouge produces a range of products for the Middle East, African and Asian markets.

Among these are petrochemicals, polymers, fittings, pipes, cable coverings, wires and packaging for consumer, industrial, medical and mobility use.

In July 2024 Borouge’s CEO said its priority was to “drive accelerated growth through capacity expansion, increased productivity and a focus on high-value customer segments”.

Borouge News

Borouge plans to ramp up production capacity by 1.4 million tonnes per annum by the end of 2026 to help increase petrochem exports

Adnoc’s listed units tie up to propel petrochemical exports

Abu Dhabi-listed Borouge and Adnoc Logistics & Services (Adnoc L&S) have entered a long-term partnership to increase the export of petrochemicals from the UAE. The contract, which will span 15 years, is expected to deliver a minimum guaranteed revenue of $531 million (AED2 billion), the companies stated in a joint announcement. The earnings will support […]

Borouge

Borouge prepares for era of ‘transformative’ growth

UAE petrochemicals company Borouge is focusing on international expansion and long-term value creation as it gears up to become a next-generation global powerhouse.  Borouge reported first-quarter net profit of $281 million and record production of 5.2 million tonnes at the end of April, driven by exceptional utilisation rates of 110 percent for polyethylene and 98 […]

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Borouge's sales volume of polyethylene and polypropylene, used in plastics and packaging, increased

Borouge net profit increases to $281m for first quarter

UAE petrochemical company Borouge reported a rise in profit for the first quarter, driven by higher production and revenue. Net profit for the three months to March rose to $281 million, on the back of an increase in sales volumes and cost reduction, the company said in a statement. Production volumes rose 7 percent year […]

Borouge, backed by Abu Dhabi National Oil Company (Adnoc) and Austria’s OMV, has awarded two contracts for the expansion

UAE’s Borouge to expand its production capacity 

UAE petrochemical company Borouge, a specialist in polyethylene and polypropylene, has unveiled expansion plans to increase annual production capacity to more than 6.6 million tonnes by 2028. The expansion is expected to contribute $165-$200 million in earnings before interest, tax and depreciation, the company said in a statement.  Borouge, backed by Abu Dhabi National Oil […]

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Operators at the Borouge facility at Ruwais. The company is increasing its dividend

Borouge hikes dividend despite economic turmoil

Emirati petrochemicals company Borouge will launch a share buyback programme and increase its dividend payout as it pushes ahead with global expansion, despite mounting trade tensions and sluggish demand. Shareholders at the company’s annual general meeting on Monday approved a final dividend of $650 million for 2024, bringing the full-year total to $1.3 billion, or […]

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