KHOBAR, Saudi Arabia (Reuters)-The $20 billion Sadara Chemical Company, a joint venture between Saudi Aramco and The Dow Chemical Company of the United States, has begun production at its polyol plant, the first in Saudi Arabia.

Sadara has announced the opening of a new plant in its complex, which is said to be the largest single-phase petrochemical facility in the world. The company announced the opening of its amine plant last week.

The Sadara complex is composed of 26 complexes located in Al Jubail in eastern Saudi Arabia, capable of producing more than 3 million tons of products per year.

As the world's largest oil exporter shifts downstream, many products will be produced in that country for the first time.

“The polyol plant is one of Sadara’s 26 chemical plants to be launched last. It is also one of Sadara’s 14 facilities and will produce specialty chemicals that have never been produced in Saudi Arabia before,” Sadara said.

It has two units or series, and they use propylene oxide and ethylene oxide to produce multiple grades of polyether polyols.

These products have a wide range of industrial applications, such as the production of specialty foams for decoration and seats.

Sadara did not specify when the remaining facilities will begin in the statement. The previous statement stated that all facilities will be put into use before the end of this year.

Saudi Basic Industries Corporation (SABIC) shelved in 2014 plans to expand its Sadaf plant in Jubail, which originally planned to increase the production of polyols, propylene oxide and styrene monomer.

Reporting by Reem Shamseddine; Editing by Edmund Blair

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