National Petrochemical Industries Company (NATPET), a subsidy of Al-Lujain owning 57 percent of NATPET, has commenced experimental operations of propylene and polypropylene (PP) plant in Yanbu Industrial City, NATPET President and CEO Jamal Maleka said. Production capacity is to reach 400,000 tons annually. The company incorporates UOP Oleflex technology for propylene production from propane provided by Saudi Aramco. Using the most advanced propylene production technology, Lyondell Basell's Spheripol technology, propylene is turned into polypropylene. Producing a wide variety of polypropylene copolymers unavailable in the local or regional markets, NATPET is the first Saudi company to incorporate this technology in the Middle East, which makes NATPET a leading company in the entire region. Polypropylene is used in the industry of packing, wrapping, carpets, automobiles, home appliances, furniture, etc. NATPET has established a professional marketing department to promote products world-wide. It has also singed marketing agreements with SABIC, a leading petrochemical company, and NOBEL Marketing Group, a distribution and marketing pioneer with annual sales up to $30bn. Driven by commitment to Saudization and technology localization, the company has 330 employees with Saudi nationals forming 42 percent of the workforce. It has also developed an intensive technical, management and marketing training program foe employees locally and globally. NATPET's capital is SR917.5 million. It has received loans of SR2.1 billion from the Saudi General Investment Fund, Saudi Industrial Development Fund and commercial banks. In order to be focused on manufacturing and marketing, the company has also signed a three-year contract with Al-Majdooi for packing, logistics, storing and delivery of products. NATPET got ISO-9001:2000 and applied SAP programs in most of the management departments. It plans to expand production and initiate polypropylene-based industries to get the maximum added value and hire more Saudi nationals.
