Advanced Petrochemical Co., through its subsidiary Advanced Polyolefins Industry Co. (APOC), has officially begun commercial operations at its new propane dehydrogenation (PDH) and polypropylene (PP) facilities in Jubail Industrial City, Saudi Arabia. The PDH unit, converting propane to propylene, boasts a nameplate capacity of 843,000 tonnes per year, while the two PP plants have a combined capacity of 800,000 tonnes annually..
APOC is structured as a joint venture, with Advanced Global Investment Co. (AGIC) holding an 85% stake and SK Gas Petrochemical Pte. Ltd. (SKGP) owning the remaining 15%. The project has been financed through a SAR 6.1 billion loan secured by APOC in 2022 and forms part of a larger SAR 7.05 billion petrochemical complex, also including an isopropanol unit..
Advanced Petrochemical indicated that the financial performance of APOC will be consolidated into its financial results starting in the third quarter of 2025.
The Jubail complex is equipped with advanced PDH–Catofin technology licensed by Lummus Technology for efficient propane-to-propylene conversion, and LyondellBasell’s Spherizone/Spheripol processes for polypropylene production.
This expansion effectively doubles the company’s propylene and polypropylene output in Jubail, adding to existing annual capacities of approximately 455,000 tpy of propylene and nearly 450,000 tpy of PP, and positions APOC to capitalize on rising regional and global demand for polyolefins.
By advancing upstream integration with PDH capacity alongside downstream PP production, Advanced is capturing strategic efficiencies and regional market share in the petrochemical value chain. Stakeholders and investors should monitor APOC’s operational ramp-up and margin impact, particularly as these units feed into Advanced Petrochemical’s Q3 2025 consolidated results.
The successful launch of the 843 ktpa propylene and 800 ktpa polypropylene plants marks a major milestone in Saudi Arabia’s polyolefin strategy, expanding capacity, enhancing integration, and strengthening Advanced Petrochemical’s competitive positioning.
