Published: May 2, 2012 00:43 Updated: May 3, 2012 15:29
YANBU: Al-Muwakaba for Industrial Development & Oversees Commerce (Holding), a member of Al-Amoudi Group of Companies, has signed an agreement to establish the Advanced Tire Factory. The factory will be set up on a 194,000 square meter area in Yanbu Industrial City and considered to be the first plant of its kind in the Kingdom.
Mohammed Hussein Al-Amoudi, chairman of the board and the main partner for both Al-Muwakaba and Advanced Tire Factory, said he was proud of this great project. The new project is in line with the guidance of the government of Custodian of the Two Holy Mosques King Abdullah in ensuring the diversity of industries in Saudi Arabia and the interest in supporting the national economy.
"We also extend our sincere thanks and gratitude to the Royal Commission of Jubail & Yanbu and the Saudi Industrial Development Fund as well as industrial Clusters' Program for their support for overcoming the obstacles to access to this vital project. Al-Amoudi also stated that the total cost of this promising project was estimated to be SR900 million. The project provides 600 employment opportunities. Based on the approach taken by the company in all of its projects, Al-Amoudi assured that the preference and priority in career opportunities would be given to young and qualified Saudis, especially from the scholarship program of the king, in addition to training and development programs provided by the company to train technicians to work in the high-tech factory.
The plant will manufacture tubeless pneumatic tires for passenger cars and commercial vehicles. Mohammed Abdullah Baraqabah Al-Amoudi, Al-Muwakaba director general and board vice chairman, said the plant was expected to produce 1,800,000 of world-class tires. He added that the manufacturing will be according to the latest world-class technologies applied in tire manufacturing - well-known BCT technology - used in the international standards tire manufacturing. He stressed that the tires would be manufactured as per the European ECE standards and American DOT standards as well as comply with the codes and standards specified by Saudi Arabian Standards Organization (SASO). Abdullah Al-Amoudi added that the project primarily aimed at meeting the needs of the Saudi market and then the rest of the GCC markets and North Africa. According to Abdullah Al-Amoudi, the project has a 34-month completion schedule with commercial production expected to commence by 2015.
The partners recently completed all the statutory procedures for the project. Nasser Bin Mohammed Bin Jarallah, Panorama Group vice president, partner and member of the board of directors of the Advanced Tire Factory, expressed his satisfaction on the efforts made to translate his dream project into reality and implementation. He also explained that Al-Muwakaba owns 65 percent of the total project while Bin Jarallah Group owns the remaining 35 percent in the first phase of the project, and it is expected to enter other international partners in the later stages of the project. He added that the project is funded partially by the Saudi Industrial Investment Fund and a number of Saudi local banks in their efforts to support the project.
According to Waddah Al-Kayyali Alem, deputy director general of the EPC, the contract to design, engineer, supply and plan the building has been awarded to one of the major international companies specialized in the manufacture of tires CAMCE-SINOMACH. The technology for the plant will be provided by BCT that will be supervised by a specialized German consulting firm, Technical Tire Consulting Gmbh (TTC) to ensure the highest quality standards. Waddah also said that Saudi Swedish company MEDROC would undertake all project management processes for Project Management Ltd.