Dubai: A new Abu Dhabi company has come into being that will develop a new industrial chemicals hub in the emirate. The Dh18 billion 'Ruwais Derivatives Park' will be built by Ta’ziz, which in Arabic means 'creating a foundation'.
The joint venture entity - with ADNOC and ADQ as partners - will include a new port, utility plants, infrastructure, feedstock supply and shared services at a cost of $2 billion (Dh7 billion). These facilities will be made available to new investors under a 'plug-and-play' concept, meaning that new projects can be plugged into the existing park infrastructure.
Ta'ziz will explore projects that can manufacture speciality chemicals on a global scale, with "opportunities for additional investors and partners to participate", the statement said. Total investment in these projects could be in excess of $3 billion (Dh11 billion), with most of the chemicals to be produced in the UAE for the first time.
Incorporation
It was in July that ADNOC and ADQ announced their intention to establish the JV with the incorporation being in Abu Dhabi Global Market. Mohamed Hassan Al Suwaidi, CEO of ADQ, said in a statement: “With companies such as Abu Dhabi Ports, Abu Dhabi National Energy Company (TAQA), Etihad Rail, Emirates Steel, Ducab and Arkan, ADQ has much to bring to this joint venture.”
Preliminary steps
Setting up of the "park" management company is underway to "ensure ease of doing business and to facilitate contact with relevant service providers and government agencies for investors".
Contracts have been awarded for the first stages of development at the park site. Several design and engineering contracts will be awarded early 2021 for the design of the chemical plants as well as the required ecosystem.
