Published On:February 3 2015
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$400mn sugar refinery to be built in Jizan Saudi Arabia.
A new sugar refinery is due to start operations in Jizan in southwest Saudi Arabia by the end of 2017, according to the Reuters. The project is valued at USD 400 million and the ground breaking ceremony is expected to take place in Q2 2015.
The proposed refinery by Al Reef Sugar Refinery is set to benefit from the low energy costs in the world's top oil exporter and will capitalize on its location advantages, which is in close proximity to the Red Sea.
At present, the design is complete and financing is ready. On completion, the Al Reef refinery is expected to refine 3,000 tons of sugar a day, and plans to export two thirds of its production to other parts of the Middle East.
In addition, new capacity for sugar refining is expected to pave the way for more projects in Oman, Saudi Arabia, Iraq and Algeria.