Etihad Rail, Borouge sign logistics pact
AGREE TO TRANSPORT 1.3MT OF POLYOLEFINS ANNUALLY
UAE rail network developer Etihad Rail and petrochemical company Borouge have entered into an agreement to transport 1.3 million tonnes of Borouge’s polyolefins annually from its complex in Al Ruways Industrial City via rail for export to customers.
The partnership supports the national In-Country Value programme, with 88 per cent of the value flowing back into the local economy, boosting economic diversification and growth.
It also includes the development of a rail freight terminal in Al Ruways Industrial City, extending over an area of more than 1 million sqm, where the terminal will handle loading and unloading, as well as storage and maintenance of shipping containers.
Reduced time
By using rail, the time required to transport Borouge’s products will be reduced to four hours compared to 12 hours via other modes of transport.
The signing was witnessed by Theyab Bin Mohammad Bin Zayed Al Nahyan, along with Dr Sultan Ahmad Al Jaber, Minister of Industry and Advanced Technology, Managing Director and CEO of the Abu Dhabi National Oil Company (Adnoc), and Chairman of Borouge; and Suhail Mohammad Al Mazrouei, Minister of Energy and Infrastructure.
The agreement was signed by Eng. Shadi Malak, CEO of Etihad Rail, and Hazeem Sultan Al Suwaidi, CEO of Borouge.
“This strategic partnership comes in line with Etihad Rail’s efforts to provide logistics solutions to some of the country’s largest companies, where they can transport goods through the rail network at reduced costs and time. In doing so, Etihad Rail also contributes to reducing carbon emissions, in line with the objectives of the UAE,” Theyab Bin Mohammad said.