$20m project to make PET dairy cups in Saudi

By Jenny Eagle contact

- Last updated on GMT

Related tags: Oman, Arabian peninsula, United arab emirates

Octal Petrochemicals
Octal Petrochemicals
Octal Petrochemicals will manufacture polyethylene terephthalate (PET) cups and trays for the dairy and poultry industry in Saudi Arabia.

The company claims it will invest $20m for the downstream project, which will begin operations in six to eight months’ time and will generate $70m a year. The venture is owned by the Omani company.

George Freiji, manager (Corporate Development), Octal said the Saudi Arabian company would manufacture 4,000 tonnes of PET dairy cups and trays in the initial phase.


"We are in an advanced stage to implement the project. We have already formed the company and have recently leased the land. Orders have been placed for equipment​," he said.

"Our main base of operations is in Oman and Saudi will be a downstream project for a specific segment, which is dairy. The project is a downstream venture to our Salalah project​.

"The main raw material (PET sheets) for the Saudi project will be exported from Salalah​."

Octal Petrochemicals announced last year the value of the company's exports stands at $100m per month or about 2% of the gross domestic products of the Sultanate and 15% of the non-oil exports.

It claims the company has achieved revenue growth from $500m to $1.5bn over a six-year period and is one of four producers of PET resin and PET sheets.

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