Saudi Basic Industries Corp.
(SABIC) has signed a toluene di-isocyanate (TDI) and methylene
di-phenyl isocyanate (MDI) technology license agreement with
Mitsui Chemicals, under which Mitsui will provide manufacturing
technology for producing TDI and
MDI. TDI and MDI are each raw materials for producing
polyurethane. The agreement also provides for joint technology development in TDI/MDI,
officials said. The official signing ceremony (Fig. 3) took
place at SABIC headquarters in Riyadh, Saudi Arabia, and
featured Mohamed Al-Mady, SABIC vice chairman and chief
executive officer, and Toshikazu Tanaka, Mitsui Chemicals
president and CEO.
Fig. 3. Executives from
SABIC and Mitsui Chemicals
ink a deal in Riyadh, Saudi Arabia.
Mr. Al-Mady said that the
partnership would spearhead a strategic collaboration between
the two companies to explore future possibilities to
collaborate in the polyurethane business. The agreement
will spur our strategic business plan to penetrate the global
polyurethane market, as well as to power the ambition and
competitive advantage of our customers for the long term,
he said. It will also enable a fast development of
polyurethane application industries in Saudi Arabia, especially
with regard to thermal insulation, which will contribute to
employment creation in addition to energy savings.
Mr. Al-Mady pointed out that Mitsui
Chemicals has lengthy experience as a manufacturer of TDI and
MDI and has developed pioneering manufacturing processes.
Through this technology license agreement, we
will strengthen our product capabilities with high-quality TDI
and MDI, and expand into the polyurethane business, he
For Mitsui Chemicals, this
license agreement will be the largest and most extensive one we
have ever made, Mr. Tanaka said. We will support
this project full force on every front
and are committed to its success. I hope that it will be just
the first step in a future business partnership with SABIC,
which may include the establishment of a strategic supply base
for competitive TDI/MDI. HP