SABIC&Mitsubishi Rayon sign LoI for joint venture in Saudi Arabia

Riyadh, August 11, SPA -- Saudi Basic Industries Corporation (SABIC)
and Mitsubishi Rayon Company Ltd (MRC) signed a Letter of Intent
(LoI) yesterday, to establish a 50/50 joint venture in the Kingdom of
Saudi Arabia.

The LoI was signed on behalf of SABIC by Mutlaq Al-Morished, Vice
President of Corporate Finance and Chief Financial Officer, and on
behalf of MRC by Masanao Kambara, President and Representative
Director.

The LoI outlines the principal terms of the proposed $1-billion
joint venture including the joint-venture structure, technology,
marketing and feedstock supply, with start-up targeted for 2013.


Under the LoI, the joint venture will utilize the ethylene-based
Alpha process commercialized by Lucite (a wholly owned subsidiary of
MRC) to manufacture methyl methacrylate monomer (MMA), with a design
capacity of 250,000 metric tons annually. Also, the joint venture
company will manufacture polymethyl methacrylate (PMMA), with a
design capacity of 30,000 metric tons annually.

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