Petrochem company Borouge wins two contracts worth $15m from UAE manufacturers

Borouge, the UAE-based petrochemical company, has clinched two new contracts worth a combined value of Dhs55m ($15m) to supply polyolefins.

Ducab and Union Pipes Industry (UPI) have signed an agreement with Borouge to use its materials to produce energy and infrastructure applications to construct Borouge 4.

Ducab will produce low-voltage and medium-voltage cables to power Borouge 4 using Borouge’s energy solutions, while UPI will use Borouge’s ‘Made in UAE’ solutions to produce pressure pipes for the cooling and public sanitation system of Borouge 4.​

Hazeem Sultan Al Suwaidi, CEO, Borouge, said: “Our latest agreements with Ducab and UPI signal the continued progress of the Borouge 4 project and are testament to our commitment to the UAE’s In-Country Value programme – providing locally sourced and ‘Made in UAE’ solutions that shape a strategic project of this scale. We look forward to building on our track record of success and unlocking longterm value through the aggressive pursuit of revenue growth and cost optimisation.”

#Borouge’s latest agreements with Ducab and UPI signal the continued progress of the Borouge 4 project and are testament to our commitment to the UAE’s In-Country Value Programme. pic.twitter.com/tggmj8wyke

— Borouge (@Borouge) January 10, 2023

Building strategic partnerships

Mohammad Almutawa, group CEO of Ducab, said: “Building strategic partnerships with national champions in the industrial sector is aligned with the goal of the Operation 300bn initiative, creates in-country value and boosts economic competitiveness. This contract will pave the way for more future cooperation that will serve our common goals.”

 Mohamed Hageb, GM, Union Pipes Industry stated: “Our collaboration with Borouge has played an important role in enabling strategic and national projects such as Borouge 4. Our high-density polyethylene pipes have a 50-year lifecycle, are capable of withstanding harsh weather conditions, and are highly durable making them ideal for the megascale demands of Borouge 4. We are delighted to be collaborating once again with Borouge and building on our decades-long partnership.”​

Borouge 4 supports the Abu Dhabi National Oil Company (ADNOC) In-Country Value (ICV) programme, with 60 per cent of the award value flowing back into the UAE’s economy.

Borouge 4 will enable the next phase of growth at Al Ruways Industrial City and supply feedstock to the TA’ZIZ Industrial Chemicals Zone.

Read: Borouge 4 construction to commence in Ruwais, early phase underway