Saudi Basic Industries Corporation (Sabic) has labelled as ‘untrue’ a report that the global credit crisis has forced it to delay offering $1.8 billion in project finance debt to fund its Kayan project.
In statement issued on Thursday, Sabic said all loan arrangements are well underway and as scheduled.
“Sabic would like to confirm that there will be no delay, contrary to what was reported in the article,” the company said.
“The statements contained within the article are untrue and should be ignored.”
The disputed report of the delay appeared in an issue of Middle East Economic Digest (Meed) last week.
The $10 billion Kayan project is being set up by Sabic and Kayan Petrochemical, in which Sabic owns a 35% stake, to produce base chemicals for export to Asian nations such as China and India.
The complex, which will produce ethylene, propylene and other chemicals, is scheduled for completion in 2009.
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