Saudi Kayan Petrochemical Company
Climate Impact & Sustainability Data (2018, 2023)
Reporting Period: 2018
Environmental Metrics
Total Carbon Emissions:Not disclosed
Scope 1 Emissions:Not disclosed
Scope 2 Emissions:Not disclosed
Scope 3 Emissions:Not disclosed
Renewable Energy Share:Not disclosed
Total Energy Consumption:Not disclosed
Water Consumption:Not disclosed
Waste Generated:Not disclosed
Carbon Intensity:Not disclosed
ESG Focus Areas
- Environment, Health, Safety, and Security
- Human Resources
- Reliability
- Sustainability and Energy
- Profitability and Cost Control Effectiveness
- Social Responsibility
Environmental Achievements
- Reduced greenhouse gas emissions by 81%
- Reduced energy consumption rate by 76%
- Reduced water consumption rate by 82%
- Reduced losses due to materials by 94%
Social Achievements
- Launched employee well-being programs (football tournament, card games, collective breakfast, open day for employees and families)
- Supported community initiatives (World Environment Conference, school equipment donations, life skills program sponsorship)
Governance Achievements
- Held a workshop to develop and improve corporate governance
- Reviewed regulations and policies to comply with Capital Market Authority requirements
- Established a Risk Management Committee
Climate Goals & Targets
Long-term Goals:
- Not disclosed
Medium-term Goals:
- Not disclosed
Short-term Goals:
- Not disclosed
Environmental Challenges
- Fluctuations in petrochemical product prices
- Risks associated with hazardous and flammable materials
- Feedstock price changes from Saudi Aramco
- Scheduled and unscheduled factory downtime
- Government regulations changes
- Fluctuations in interest rates
- Foreign currency transactions
Mitigation Strategies
- Effective marketing strategy with SABIC to reduce price volatility
- Highest safety standards for storage and transportation of products
- Continuous employee safety training and asset insurance
- Production input optimization
- Talent attraction and development programs
- Comprehensive reliability project to reduce downtime
- Comprehensive risk review and implementation of necessary measures
- Interest rate monitoring and hedging
- Liquidity risk management
- Risk Management Committee to address risks
Supply Chain Management
Supplier Audits: Not disclosed
Responsible Procurement
- Not disclosed
Climate-Related Risks & Opportunities
Physical Risks
- Not disclosed
Transition Risks
- Not disclosed
Opportunities
- Not disclosed
Reporting Standards
Frameworks Used: Null
Certifications: ISO 9001:2015, ISO 17025, ISO 27001, ISO 22301, GMP, Halal, EXCiPACT, EffCi
Third-party Assurance: Compass (for Board performance)
UN Sustainable Development Goals
- Not disclosed
Not disclosed
Sustainable Products & Innovation
- Not disclosed
Awards & Recognition
- First prize for polycarbonate transformation projects and reliability improvement (SABIC)
- Honored by SABIC as one of the best companies in sustainability
- Second position for most participating company in SABIC Global Meeting
Reporting Period: 2023
Environmental Metrics
Total Carbon Emissions:3,781,930 MT CO2e
Total Energy Consumption:51,670,935 GJ
Water Consumption:4,670,072 m3
Waste Generated:122,335.6 MT
Carbon Intensity:0.88 MTCO2/MT sales (2023)
ESG Focus Areas
- Climate Change
- Resource Efficiency
- Workplace Safety
- Community Engagement
- Human Rights
- Ethical Conduct
Environmental Achievements
- Overhauled two crude oil boilers, reducing CO2 emissions by 200,000 tonnes/year and saving over 700,000 MMBTU of energy.
- Initiated steps to direct purge gas recovery from the LDPE plant, aiming to significantly reduce greenhouse gas emissions up to 40,000 MT of CO2.
- Implemented a new Titanium catalyst in the DPC plant, saving around 266,000 tonnes annually and improving energy efficiency by 14.7%.
- Replaced the cycle water heat exchanger in the EOEG plant, saving an estimated 50 MT of steam per hour and reducing energy consumption by 31% (saving around 6.5 million SAR annually).
- EOEG plant captures approximately 70,000 tonnes of CO2 annually, utilized as a raw material.
- Achieved its first cycle credit that reached up to 3.8 MMBTU.
Social Achievements
- Added 75 new employees.
- Continued investment in employee training programs.
- Launched Compliance Helpline.
- Conducted 28 Emergency Drills.
- Various CSR programs reaching 4000+ people, including health initiatives, charitable contributions, educational programs, and national day celebrations.
Governance Achievements
- Implemented Asset Performance Index (API) program to measure assets and their life cycles.
- Received 17 global certifications in 2023 (e.g., ISO 9001, ISO 14001, ISO 27001).
- Implemented online permit and drone inspection to reduce time and cost.
- Established a strong corporate culture through ongoing events and programs.
Climate Goals & Targets
Long-term Goals:
- Becoming a regional leader in petrochemicals and a preferred supplier, delivering sustainable profits.
- Achieving carbon neutrality by 2050.
Medium-term Goals:
- Establishing synergies with affiliates and other companies.
Short-term Goals:
- Producing the most profitable grades based on market demand.
Environmental Challenges
- High cost of butane feedstock.
- Fluctuating market prices and low demand.
- Geopolitical conflicts impacting global petrochemical prices and supply chains.
- Global pressure to pivot to sustainability.
- Cybersecurity threats.
Mitigation Strategies
- Strategies to reduce butane intake and maximize ethane intake.
- Focus on producing the most profitable grades in high-demand markets.
- Developing new, higher-premium grades.
- Exploring low-carbon technologies and mitigating GHG emissions.
- Implementing multiple initiatives in its digitalization journey, including security measures.
Supply Chain Management
Responsible Procurement
- SAP-Ariba (SLP) program for supplier qualification and verification.