SABIC Europe cracker project on hold

13-Jun-2006

Sabic Europe has decided to put the development of the cracker project on the Geleen-site (the Netherlands) on hold. The investment costs and financial risks are too high to realise a financially sound project on the Geleen site today.

"Main cause for the high investment costs is the current overstrained market situation in the global contracting and construction market due to the many investments projects in the oil, gas and energy market worldwide. " explains Frans Noteborn, CEO of SABIC Europe.

SABIC remains committed to its strategy of growth for the important European market. To realize this strategy, all options like upgrading of the current asset base, supply from the global SABIC system to strengthen the existing portfolio will be reviewed in the coming months.

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