Wa’ed, the investment arm of state-owned oil giant Saudi Aramco, has approved to grant a $1.3 million loan to Amad Chemicals Company, one of the leading Saudi-based manufacturers of environmentally low-impact chemicals and coatings for the maritime sector.
The funds will be used to finance Amad’s plan to set up a new factory in Ras Al Khair, Jubail, the future home of King Salman Maritime Complex, one of the world’s largest planned shipyards.
The new facility will produce chemicals and coatings that comply with Saudi-supported environmental standards set by the International Marine Organization (IMO), a UN agency that oversees global shipping. The facility’s business line will promote the reduction of industrial waste and pollution, particularly in the maritime and offshore sectors.
Mr. Hazza Al-Qahtani, Chairman at Amad Chemicals Company, said the loan contributes to closing an important gap in the Saudi economy for ‘homegrown’ environmentally-compliant chemicals.
“We are delighted that Wa’ed is empowering the growth of our company and with it, industry expansion in Saudi Arabia. We pride ourselves for being among the first Saudi-based companies to address this untapped market and thank Wa’ed immensely for their substantial backing,” Mr. Al-Qahtani added.
Financing Amad’s new facility marks another initiative by Wa’ed to boost the localization of key industrial sectors while supporting the growth of sustainability-focused companies in the Kingdom.
“Supporting Amad Chemicals will not only create prospective jobs for Saudis in a crucial industrial sector, but it will also advance the Kingdom’s adoption of international environmental standards, an opportunity to elevate local awareness around sustainable businesses,” said Mr. Fahad Alidi, Managing Director at Wa’ed.
Amad Chemicals plans to expand its operations within the kingdom with a future unit to be established in Jeddah within the next few years. In the shorter term, the company is looking to tap into new markets, offering a wide range of industrial sanitization services for clients in various sectors within the next year.
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