Biolab Arabia (BLA), a Saudi chemical company based in Jubail Industrial City, is set to construct a 30-tonne polymerisation reactor and a new facility to house raw materials as part of its four-phase expansion plan.

The first phase of the expansion plan is expected to cost $25 million.

Wholly owned by Al Hejailan Group, BLA is involved in manufacturing, consulting engineering and telecommunications.

BioLab, which presently has a formulating capacity of 48,000 tonnes, produces antiscalant chemicals used in thermal and RO (reverse osmosis) desalination plants in cooperation with UK-based, BWA Water Additives company.

The centrepiece of BLA’s expansion is a fully automated plant that will enable the company to produce polymers and copolymers using Glacial Acrylic Acid, which has been allocated to it by Samco plant, a joint venture of Dow, Tasnee and Sahara, also based in Jubail Industrial City, said a statement from the company.

The first phase, which is expected to be completed by October of this year, involves the construction of a 30-tonne polymerisation reactor that is being installed along with the building of a 7,500-sq-m structure to house raw materials, the filling line and finished products.

The first phase will also see the completion of work on infrastructure and utilities required to install more reactors in addition to providing room for further expansion.

With this expansion, BLA aims to increase its market presence and enhance competitiveness, besides becoming a key supplier of polymers and copolymers to other industries in the GCC and Middle East and North Africa (Mena) region, said the statement.

Being a local manufacturer, the company said, it can ensure cost-effective products saving on various export-related expenses such as shipping and freight, custom duties, logistics, labour, utilities and inventory holding.

BLA focus will cater to industries related to paint, construction material, detergents and oil field chemicals. The company said it extends its services as a toll and licensee manufacturer, distributor, or a joint venture partner.-TradeArabia News Service