New Delhi: Abu Dhabi state-owned Chemicals Derivatives Company (TA’ZIZ) and Indian conglomerate Reliance Industries (RIL) have entered into a more than $2 billion chemical production partnership in Ruwais, Abu Dhabi, TA’ZIZ said in a statement on Tuesday. agreed upon.
According to a Reuters report, the joint venture, called TA’ZIZ EDC & PVC, will build and operate a chlor-alkali, ethylene dichloride (EDC), and polyvinyl chloride (PVC) production facility, the statement said. Is.
The joint venture aims to export materials to target markets in Southeast Asia and Africa, as well as sell them domestically.
TA’ZIZ said, “Representing the first production of these chemicals in the UAE, the project will enable the replacement of imports and the creation of new local value chains, as well as meeting the growing demand for these chemicals globally.”
TA’ZIZ was formed last year as a joint venture by Abu Dhabi National Oil Company (ADNOC) and Abu Dhabi state-owned holding company ADQ, which hold 60 percent and 40 percent stake, respectively.
TA’ZIZ quoted Reliance Chairman Mukesh Ambani as saying, “India’s need to fuel the growth of PVC, and the value from the abundant feedstock available in the UAE provides a win-win partnership for both companies. Is.”
TA’ZIZ said in November last year that it had selected potential investment projects worth more than $5 billion in the planned Ruwais Derivatives Park, with the joint venture to act as a catalyst for its growth.
TA’ZIZ said that the project is Reliance’s first investment in the MENA region.
India’s most valuable company, Reliance Industries, said last month that it has decided to re-evaluate a proposed $15 billion investment in Reliance’s oil-to-chemicals business with Saudi Aramco.
The investment was announced in 2019 but was delayed due to the fall in oil prices due to the pandemic.
The company will continue to be Aramco’s preferred partner for private sector investments in India and will collaborate with Saudi Aramco and SABIC for investments in Saudi Arabia, Reliance added at the time.
Ambani said the company expected to formalize its partnership with Aramco this year at the end of June.
,