Bahrain - Petrochemicals Bahrain-Petrochemicals
Overview
Seeking further diversity in its economy, the Bahraini Government has worked to identify alternatives to the oil and gas sector for generating exports. The development of Bahrain’s petrochemicals industry is the top priority for industrial development in Bahrain. The Bahraini Government established the Gulf Petrochemical Industries Company (GPIC) in 1980 to produce ammonia and methanol. By 1988, GPIC produced 1,700 tons of petrochemicals daily, which led to the creation of new downstream industries in Bahrain. Within the petrochemical sector, five sub-sectors have grown quickly in recent years: construction chemicals, water treatment chemicals, polymer and plastic additives, paints and coating additives, and oil field chemicals.Leading Sub-Sectors
Among the leading industries in Bahrain are the aluminum, iron, petrochemicals, plastics, glass, food and pharmaceutical, shipbuilding and repair, iron pellets, and many more. Bahrain Petroleum Company (Bapco) refines 270,000 barrels per day of crude oil to produce: Gasoline, kerosene, jet fuel, low sulfur diesel, heavy distillates, fuel oil, asphalt, liquefied petroleum gas, propane, and butane. Gulf Petrochemical Company (GPIC) converts natural gas to kalloria and ammonia chemical fertilizers and methanol with a production capacity of about 1.5 million tons per year. Aluminium Bahrain (Alba) produces liquid aluminum (molten), as well as rolling and drawing molds and standard alloys for local industries and alloy wheels, with a production capacity of 900,000 metric tons per annum, of which 50 percent is allocated to local customers by supplying them with various types of products such as liquid metal, rolling molds, drag rods.Opportunities
In order to optimize the utilization of the smelter products in Bahrain, several manufacturing plants have been established, mainly based on Alba products as a major raw material for the manufacturing process. The establishment of Alba resulted in the establishment of small and medium factories for the manufacture and fabrication of aluminum for the production of doors, windows, kitchens and various configurations of aluminum profiles. Main local manufactures are Midal Cables Co. manufacturer of aluminum cables and electrical connectors, Gulf Aluminum Rolling Company (GARMCO) produces rolled products, rolled metal sheets, aluminum circuits, Bahrain Aluminum Extrusions Company (BALEXCO) produces aluminum profiles, metal coating, smelting and fabrication, and Bahrain International Metal Spray Company produces powder and aluminum pellets used in the manufacture of dyes and spare parts.Post assesses that opportunities for U.S. firms exist in the manufacturing of basic chemicals, fertilizers, nitrogen compounds, plastics and synthetic rubber in primary forms. Opportunities also exist in the manufacturing of pesticides, cosmetics, and synthetic fibers.
Bahrain also presents opportunities for manufacturing in the following subsectors: construction chemicals, water treatment chemicals, polymer and plastic additives, paints and coating additives, and oilfield chemicals.
The Government of Bahrain also plans several new production facilities that could present potential opportunities for U.S. firms. These include:
- A urea plant expansion under GPIC
- An ammonia plant expansion under GPIC
- An aromatics plant under NOGA
- A polyethylene & polypropylene plant under NOGA
- A naphtha cracking refinery plant under NOGA.
Web Resources
www.gpca.org.ae/bahrainwww.encyclopedia.com/places/asia/arabian-peninsula-political-geography/bahrain
www.worldsrichestcountries.com/top-bahrain-imports.html
http://atlas.media.mit.edu/en/profile/country/bhr/#Imports
www.oxfordbusinessgroup.com
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