Company Insights Sabic Petrochemicals Latest Sabic DevelopmentsAI Insights Sabic turned a profit in 2024, reporting SAR1.5 billion (£400 million) after a loss of SAR2.8 billion in 2023. The company's annual revenue fell by 1 percent to SAR140 billion, though the average selling price saw a 1 percent increase2. Sabic was the best-performing petrochemicals company in Saudi Arabia last year, with a 42 percent rise in nine-month net profit to $1.1 billion4. Ma’aden approved a share purchase agreement to acquire Sabic’s entire 20.6 percent stake in Aluminium Bahrain, valuing the transaction at about $1 billion1. Sabic is part of a larger plan by its parent company, Saudi Aramco, which started building an integrated refining and petrochemical complex in China. The facility will direct more crude towards global petrochemicals demand3. Despite a challenging global environment, Sabic was one of only three petrochemical firms in Saudi Arabia that reported improved earnings in the first nine months of 20245. Sabic Overview Founded by royal decree in 1976, Sabic, or Saudi Basic Industries Corporation, is now among the world’s largest petrochemicals manufacturers and is Saudi Arabia’s third-largest listed company. It is traded on the Saudi Tadawul stock exchange – 70% of its shares are owned by state oil company Saudi Aramco and the remaining 30% are publicly traded. Its headquarters are in Riyadh, and it has major industrial operations in the industrial city of Al-Jubail on the Arabian Gulf, as well as in Yanbu on the Red Sea, which is also home to its subsidiary Yanbu National Petrochemical Company. With around 31,000 employes, it operates in more than 140 countries and operates in four main sectors: chemicals, polymers, fertilisers and advanced materials. Sabic is a self-described global leader in materials such as methanol, granular urea, polypropylene and polyethylene. It is working with Aramco to develop technology to turn crude oil into chemicals. The aim is to funnel more crude into chemicals that will produce plastics for lightweight vehicles, batteries or mobile phones. Subsidiaries include the Arabian Petrochemical Company, Saudi Iron and Steel Company, Saudi European Petrochemical Company, Saudi Methanol Company, Yanbu National Petrochemical, Arabian Industrial Fibers Company and Saudi Kayan Petrochemical Company. In 2023 it reported its first annual loss since at least 1990 as a result of supply-demand imbalance for its products but its performance has improved since then. Sabic News Finance International investors target Saudi IPOs and smaller caps Better stock price performance Active investors growing On-the-ground research Emerging market investors are increasingly targeting Saudi Arabia’s smaller listed companies and initial public offerings, because of their better stock pric... Register now: It’s easy and free This content is available for registered members only. Register for your free account today for exclusive emails, special reports […] March 24, 2025 Petrochemicals Gulf oil companies turn up petrochemicals investment Petrochemicals add value Demand for crude slows Sector to add 20 mtpa capacity Gulf national oil companies (NOCs) are increasingly focusing their investment attention on petrochemicals as they seek to move up the value chain and as glob... Register now: It’s easy and free This content is available for registered members only. Register for your […] March 18, 2025 Analysis Oil & Gas Aramco focuses spending on gas and Jafurah fields Saudi Aramco, the world’s largest oil company by value, has said it is focusing its spending on developing natural gas over oil reserves because of higher returns. The Saudi kingdom, the world’s second-largest oil producer after the US, is developing its gas reserves to supply its petrochemical and fertiliser industries and to power its electricity-generating […] March 7, 2025 Analysis Markets Gulf investors urged to switch from petrochems to fertiliser Gulf fertiliser companies are trading below their fair value, with investors not seeming to price in a rebound in product prices that analysts say is more than just a seasonal upswing. In the Gulf, fertilisers and petrochemicals are considered adjacent industries, since both rely on natural gas as a feedstock. While petrochemical companies’ earnings have […] March 7, 2025 Energy Aramco slashes blue ammonia output to reduce costs Saudi Aramco has scaled down its low carbon ammonia production target by 80 percent because of high costs and low demand. The company has adjusted its production objective from 11 million tonnes per annum (mpta) by 2030 to 2.5 mpta, it has said. The new target is still subject to the availability of commercially viable […] March 6, 2025 Petrochemicals Aramco-owned Sabic turns $400m profit in 2024 Saudi Basic Industries Corporation, a listed petrochemicals company that is 70 percent owned by Saudi Aramco, turned a profit last year after losing money in 2023. Sabic’s profit was SAR1.5 billion ($400 million) in 2024, compared with a loss of SAR2.8 billion in 2023. Annual revenue fell 1 percent to SAR140 billion and sales volumes […] February 26, 2025 Analysis Petrochemicals Petrochemicals ‘won’t even get fleeting respite’, analysts warn Executives and investors in Saudi petrochemicals could be forgiven for needing a break from industry news after its biggest companies report what are widely expected to be lacklustre results for the final quarter of 2024. They won’t be getting that pause any time soon, however. Extra production capacity that was expected in 2024 is instead […] February 26, 2025 Analysis Petrochemicals Gloomy outlook for Saudi petrochemicals Saudi Arabia’s 10 listed petrochemical companies are likely to report lacklustre earnings for the fourth quarter of 2024 because of an ongoing downturn in the global chemicals industry, analysts predict. The sector’s prolonged malaise means they are likely to be of little interest to international institutional investors – although all enjoy significant cost advantages over […] February 25, 2025 Manufacturing Alba and Ma’aden end merger discussions Aluminium Bahrain (Alba) and the Saudi Arabian Mining Company (Ma’aden) have ended talks over a merger of the two Gulf manufacturing giants. Discussions had been taking place since last year and it had been hoped that a deal could be completed in the first quarter of 2025, according to Alba’s chief executive, Ali Al Baqali. […] January 13, 2025 Giga-projects Rising fuel and feedstock prices could fund Vision 2030 Higher feedstock and fuel prices introduced in Saudi Arabia are likely to play a part in funding the kingdom’s trillion-dollar Vision 2030 programme, according to a leading ratings agency. From the start of the month, the price of methane, the main component of natural gas and commonly used as a fuel in cement kilns, rose […] January 10, 2025 Posts navigation 1 2 … 8 Next
Finance International investors target Saudi IPOs and smaller caps Better stock price performance Active investors growing On-the-ground research Emerging market investors are increasingly targeting Saudi Arabia’s smaller listed companies and initial public offerings, because of their better stock pric... Register now: It’s easy and free This content is available for registered members only. Register for your free account today for exclusive emails, special reports […] March 24, 2025
Petrochemicals Gulf oil companies turn up petrochemicals investment Petrochemicals add value Demand for crude slows Sector to add 20 mtpa capacity Gulf national oil companies (NOCs) are increasingly focusing their investment attention on petrochemicals as they seek to move up the value chain and as glob... Register now: It’s easy and free This content is available for registered members only. Register for your […] March 18, 2025
Analysis Oil & Gas Aramco focuses spending on gas and Jafurah fields Saudi Aramco, the world’s largest oil company by value, has said it is focusing its spending on developing natural gas over oil reserves because of higher returns. The Saudi kingdom, the world’s second-largest oil producer after the US, is developing its gas reserves to supply its petrochemical and fertiliser industries and to power its electricity-generating […] March 7, 2025
Analysis Markets Gulf investors urged to switch from petrochems to fertiliser Gulf fertiliser companies are trading below their fair value, with investors not seeming to price in a rebound in product prices that analysts say is more than just a seasonal upswing. In the Gulf, fertilisers and petrochemicals are considered adjacent industries, since both rely on natural gas as a feedstock. While petrochemical companies’ earnings have […] March 7, 2025
Energy Aramco slashes blue ammonia output to reduce costs Saudi Aramco has scaled down its low carbon ammonia production target by 80 percent because of high costs and low demand. The company has adjusted its production objective from 11 million tonnes per annum (mpta) by 2030 to 2.5 mpta, it has said. The new target is still subject to the availability of commercially viable […] March 6, 2025
Petrochemicals Aramco-owned Sabic turns $400m profit in 2024 Saudi Basic Industries Corporation, a listed petrochemicals company that is 70 percent owned by Saudi Aramco, turned a profit last year after losing money in 2023. Sabic’s profit was SAR1.5 billion ($400 million) in 2024, compared with a loss of SAR2.8 billion in 2023. Annual revenue fell 1 percent to SAR140 billion and sales volumes […] February 26, 2025
Analysis Petrochemicals Petrochemicals ‘won’t even get fleeting respite’, analysts warn Executives and investors in Saudi petrochemicals could be forgiven for needing a break from industry news after its biggest companies report what are widely expected to be lacklustre results for the final quarter of 2024. They won’t be getting that pause any time soon, however. Extra production capacity that was expected in 2024 is instead […] February 26, 2025
Analysis Petrochemicals Gloomy outlook for Saudi petrochemicals Saudi Arabia’s 10 listed petrochemical companies are likely to report lacklustre earnings for the fourth quarter of 2024 because of an ongoing downturn in the global chemicals industry, analysts predict. The sector’s prolonged malaise means they are likely to be of little interest to international institutional investors – although all enjoy significant cost advantages over […] February 25, 2025
Manufacturing Alba and Ma’aden end merger discussions Aluminium Bahrain (Alba) and the Saudi Arabian Mining Company (Ma’aden) have ended talks over a merger of the two Gulf manufacturing giants. Discussions had been taking place since last year and it had been hoped that a deal could be completed in the first quarter of 2025, according to Alba’s chief executive, Ali Al Baqali. […] January 13, 2025
Giga-projects Rising fuel and feedstock prices could fund Vision 2030 Higher feedstock and fuel prices introduced in Saudi Arabia are likely to play a part in funding the kingdom’s trillion-dollar Vision 2030 programme, according to a leading ratings agency. From the start of the month, the price of methane, the main component of natural gas and commonly used as a fuel in cement kilns, rose […] January 10, 2025
