Borouge 4 Project Pushes Past 50% Completion
In late January 2024, Borouge of Abu Dhabi announced that its Borouge 4 petrochemical project currently under construction in the Al Ruwais Industrial City had reached a pivotal milestone with over 50% completion reached. This project is currently expected to complete by the end of 2025 as one of the largest projects being developed in the United Arab Emirates.
The Borouge 4 project is being built by Borouge shareholders ADNOC and Borealis with the intention of boosting Borouge’s current output by 1.4 million tons per year to a total of approximately 6 million tons per year. This considerable capacity will be utilized by Borouge for a variety of sectors such as energy purposes, construction infrastructure, and potential renewable energy endeavors.
Hazeem Sultan Al Suwaidi, Chief Executive Officer of Borouge Plc, recently stated that “This project is of significant importance to both Borouge and the development of the UAE’s industrial sector. The project, which is over halfway completed, will not only boost our production capacity, and mark our facilities at Al Ruwais Industrial City in Al Dhannah as the largest single-site polyolefin complex but also enhance our ability to deliver product innovation and value to customers across the high-growth markets we serve.”
Construction began in 2022 and once completed in 2025, it will be turned over from ADNOC and Borealis for Borouge to implement the project around the Borouge 4 ethane cracker, also known as EU4, for production based around polyethylene and polypropylene production. The EU4 cracker is also being eyed for tie-in access to a potential carbon capture unit, thus making the project ready for integration for this process and reducing potential downtime for eventual installation.
Borouge 4 has a capex figure of $6.2 billion and follows the implementation of the previous Borouge projects began with the initial polyolefin production of 450,000 tons per year in 2001 with an expansion to 600,000 tons per year in 2005. This was followed by Borouge 2 in 2010 that added expanded polyolefin production to 2 million tons per year, and in 2014, Borouge expanded the production to approximately 4.5 million tons per year.
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