| Basic Chemicals

Basic Chemicals

why invest in Basic Chemicals ?

largest-importer
Basic Chemicals presents an opportunity for the Kingdom to extract higher value-added from crude oil
largest-importer
The KSA Basic Chemicals industry is well positioned to continue expanding to maintain its global leadership in selected value chain segments (C1 & C2 chains)
largest-importer
The Kingdom can also unlock the potential across C3s, C4s, and Aromatics chains by leveraging its market position, while integrating new technologies and feedstock
largest-importer
The industry also plays a vital role in the activation of downstream industries (Intermediate, Specialty, and Conversion Chemicals) and the enablement of adjacent industries

Investor Journey

01
01
Research & Awarenessoptional
02
02
Connecting with Executing Entities & Prefeasibility Study Development optional
03
03
Signing Initial Agreement(s)optional
04
04
Preparing a Feasibility Study and Apply for Support Packagesoptional
05
05
Commercial Registration
06
06
Establishment Registration
07
07
Special Requirementswhere applicable
08
08
Secure Industrial Land
09
09
Apply for a Loan to finance your project
10
10
Apply for Environmental Permit for Construction
11
11
Apply for Construction Permit
12
12
Apply for Safety Certificate Prior to Operations
13
13
Apply for an Industrial License
14
14
Apply for Environmental Permit for Operations
15
15
Apply for Operational License
16
16
Begin Operations
17
17
Support and Aftercare
18
18
Export Journey
01
01
Research & Awarenessoptional
02
02
Connecting with Executing Entities & Prefeasibility Study Development optional
03
03
Signing Initial Agreement(s)optional
04
04
Preparing a Feasibility Study and Apply for Support Packagesoptional
05
05
Applying for a Foreign Investment License
06
06
Commercial Registration
07
07
Establishment Registration
08
08
Special Requirementswhere applicable
09
09
Secure Industrial Land
10
10
Apply for a Loan to finance your project
11
11
Apply for Environmental Permit for Construction
12
12
Apply for Construction Permit
13
13
Apply for Safety Certificate Prior to Operations
14
14
Apply for an Industrial License
15
15
Apply for Environmental Permit for Operations
16
16
Apply for Operational License
17
17
Begin Operations
18
18
Support and Aftercare
19
19
Export Journey

Research & Awarenessoptional

By accessing Daleel, you can find all the information you need about NIDLP sectors, value propositions, enablers and market data. Daleel platform will also guide you to connect with NIDLP success partners and executing entities who can support your investment. Moreover, you can explore all investment opportunities related to NIDLP sectors through InvestSaudi.

Connecting with Executing Entities & Prefeasibility Study Development optional

By connecting with NIDLP executing entities such as the Ministry of Investment (MISA), the Ministry of Industry and Mineral Resources (MIM) and the Saudi Industrial Development Fund (SIDF), you can meet and discuss the investment opportunity you are seeking. Moreover, you can use all available information and data through Daleel platform to further develop Prefeasibility studies assessments.

Signing Initial Agreement(s)optional

If needed, a memorandum of understanding (MOU), Non-Disclosure Agreement (NDA) or any alternative agreement can be executed with the subject entity/entities (e.g. NIDLP or other government entities) to set a collaboration framework and exchange data and information.

Preparing a Feasibility Study and Apply for Support Packagesoptional

While preparing your feasibility study, you can also apply, and negotiate where applicable, all the support packages and enablers provided through NIDLP executing entities. The feasibility study shall also include an Environmental Impact Assessment (EIA) in addition to financial analysis of the project, with details around expected revenues, OPEX, CAPEX, EBITDA margin, cost of capital and expected returns.

Commercial Registration

As an investor, you are required to apply for a commercial registration from the Ministry of Commerce to practice commercial activities.

Conditions:

  • To be at least 18 years old.
  • The owner should not be a government employee.
  • The capital should not be less than 5000 Saudi riyals.
  • In the event that the issuance is for a sub-registry, the main register must be valid.
  • It is not required to issue a subsidiary register if it has the same activity and the same administrative region.

Duration of Service:

immediate.

Service Fees:

  • SR 200 for main register.
  • SR 100 for subsidiary register.

Establishment Registration

Register the new establishment at all of

  1. Zakat, Tax and Customs Authority,
  2. Ministry of Human Resources and Social Development and
  3. General Organization for Social Insurance.

Required Documents:

  • The Commercial Registration.
  • Memorandum of Association

Special Requirementswhere applicable

For Chemical industries, if you shall require Gas or fossil fuel as a feedstock, you must apply for fuel allotment from the Ministry of Energy.

Secure Industrial Land

There are different ways to secure land:

  • Through the Saudi Authority for Industrial Cities and Technology Zones (MODON);
  • Through the Economic Cities and Special Zones Authority (ECZA);
  • Through the Royal Commission for Jubail and Yanbu; or
  • You can apply through the Ministry of Municipal and Rural Affairs for the lands you need.

The Saudi Authority for Industrial Cities and Technology Zones (MODON)

Time Frame:

  • 25 days.

Documents Required:

  • Commercial registration.
  • Preliminary plan for the project.
  • Timeline for construction (maximum 2 years).

The Economic Cities and Special Zones Authority (ECZA)

Time Frame:

  • 1 working day.

Documents Required:

  • Apply directly for construction permit.

The Royal Commission for Jubail and Yanbu (RCJY)

Time Frame:

  • 36 working days for major and secondary industrial projects, or 19 working days for supporting industrial projects.

Supporting Industries Projects

Documents Required:

  • CR.
  • Conceptual site plan.
  • Environmental criteria questionnaire.
  • Process flow diagram.
  • Process description.

Primary and Secondary Industries Project

Documents Required:

  • Expression of interest.
  • Data summary sheet.
  • Environmental criteria questionnaire.
  • Saudization Program.

Apply for a Loan

You can utilize the financial enablers to apply for a loan, for example the financing programs provided through the Saudi Industrial Development Fund (SIDF) or the programs provided through Monshaat Authority for small and medium enterprises. A commercial loan can also be an alternative or a supplement.

The Saudi Industrial Development Fund (SIDF)

Documents Required:

  • Sector details.
  • License details.
  • Company details.
  • Product details.
  • Ownership.
  • Net worth details.
  • Bank details.
  • Authorized person details.
  • Copy of the commercial registration.
  • Copy of the articles of association.
  • Copy of relevant land lease agreement documents or original land title deed.
  • Authorization by the company’s board of directors or power of attorney to their representative to sign the loan agreement related agreements and order notes.
  • Detailed list of the project fixed assets to be mortgaged.

Monshaat Authority for Small and Medium Enterprises

Documents Required:

  • Please visit Monshaat website for more details.
  • License details.
  • Company details.

Apply for Environmental Permit for Construction

Before construction works, you should apply for an environmental permit for construction. At this point, you would have already an endorsed Environmental Impact Assessment (EIA) to identify expected environmental impacts and determine the environmental requirements during construction phase. The fees and time required to obtain the permit will depend on EIA categorization.

Fees:

  • Category I: 1,000 Saudi Riyal
  • Category II: 10,000 Saudi Riyal
  • Category III: Depends on project type and scope

Time Frame:

  • Category I: 15 Business Days
  • Category II: 40 Business Days
  • Category III: Depends on project type and scope.

Apply for Construction Permit

After signing a contract to obtain land, you can apply for a construction license through the relevant entity, such as MODON, the Royal Commission for Jubail and Yanbu (RCJY) or the Economic Cities and Special Zones Authority (ECZA).

The Saudi Authority for Industrial Cities and Technology Zones (MODON)

Fees:

  • Free.

Time Frame:

  • 3 business days.

Documents Required:

  • General plan for the project.
  • Project timeline.
  • Copy of supervision contract between owner and consultants.
  • Copy of contract between owner and contractor.
  • Pledge by the owner to provide electric power in case it is not available.

The Royal Commission for Jubail and Yanbu (RCJY)

Fees:

  • Free.

Time Frame:

  • 3 business days.

Documents Required:

  • NOC letter from the Saudi Electrical Company.
  • GOSI certificate insurance.
  • Environmental Permit to Construct (documents required are available in RCJY investment manual book).

The Economic Cities and Special Zones Authority (ECZA)

Fees:

  • 1000 Riyals for each application +1.5 Riyals per square meter built.

Time Frame:

  • 16 business days.

Documents Required:

  • Investment Licence.
  • Completion of “Register Sales” or “Register Lease” services.

Apply for Safety Certificate Prior to Operations

After completing construction, you can apply for a safety certificate through Salamah service, provided by the General Directorate of Civil Defense.

Apply for an Industrial License

You can apply for the final industrial license from the Ministry of Industry and Mineral Resources (MIM) through Senaei portal (www.industrial.mim.gov.sa).

Fees:

Not applicable

Time Frame:

Three (3) Business Days

Documents Required:

  • If you are building your facility within an area that falls under the Ministry of Municipal and Rural Affairs perimeter, you must provide the municipal license as a required document. However, if your facility is located within an industrial city (e.g. industrial cities governed by MODON, RCJY or ECZA), you will need to provide the contract for land allocation.
  • Documents for any required approvals that apply to your industry.
  • Commercial Registration.
  • Environmental Permit.
  • Foreign Investment License (if applicable).

Apply for Environmental Permit for Operations

You can obtain an Environmental Permit for Operations after all environmental requirements are met and construction works are complete.

Fees:

  • Depends on project type and scope.

Time Frame:

  • Category I: 15 Business Days
  • Category II: 40 Business Days
  • Category III: 85 Business Days

Apply for Operational License

You can apply for Operational License through the relevant entity, such as MODON, the Royal Commission for Jubail and Yanbu (RCJY) or the Economic Cities and Special Zones Authority (ECZA). Or, if your facility is not located within an industrial city, you can apply for the Operational License through the Ministry of Municipal and Rural Affairs.

The Saudi Authority for Industrial Cities and Technology Zones (MODON)

Fees:

  • Free

Time Frame:

  • 3 business days.

Documents Required:

  • Commercial registration.
  • Copy of lease contract.
  • Safety plans for facility.
  • Maintenance contract for safety systems.
  • Architectural plan.

The Royal Commission for Jubail and Yanbu (RCJY)

Fees:

  • Free

Time Frame:

  • 10 business days.

Documents Required:

  • Environmental permit to operate.

The Economic Cities and Special Zones Authority (ECZA)

Fees:

  • 350 Riyals per unit.

Time Frame:

  • 20 business days.

Documents Required:

  • Building permit.

Begin Operations

At this point and after acquiring all required approvals, licenses and permits, you may begin to operate your facility.

Aftercare

If any problems or issues arise, you can reach out to the relevant entities for support. For example,industrial land providers (e.g. MODON or RCJY) also offer additional services to investors such as employee visa application support, access to healthcare facilities and R&D laboratory services.

Moreover, the National Industrial Development Center (NIDC) provides technical support before and after project completion. NIDC also analyze economic indicators, project profitability and facilitate communication with relevant authorities in the event of obstacles.

Export Journey

In case your industrial project is targeting exportation, below are the steps related to export mechanism and procedures:

  1. Complete the Sale
  2. Ensure having all required approvals for export
  3. Proof of Payment
  4. Obtain a Shipment Insurance
  5. Reserve your shipping service
  6. Load your shipment
  7. Obtain Confirmation on your Shipment from the Shipping Agent
  8. Provide Required Documents for Customs Clearance
  9. Obtain Customs Clearance
  10. Shipment Departure
  11. Provide shipment details and document to the buyer

Research & Awarenessoptional

By accessing Daleel, you can find all the information you need about NIDLP sectors, value propositions, enablers and market data. Daleel platform will also guide you to connect with NIDLP success partners and executing entities who can support your investment. Moreover, you can explore all investment opportunities related to NIDLP sectors through InvestSaudi.

Connecting with Executing Entities & Prefeasibility Study Development optional

By connecting with NIDLP executing entities such as the Ministry of Investment (MISA), the Ministry of Industry and Mineral Resources (MIM) and the Saudi Industrial Development Fund (SIDF), you can meet and discuss the investment opportunity you are seeking. Moreover, you can use all available information and data through Daleel platform to further develop Prefeasibility studies assessments.

Signing Initial Agreement(s)optional

If needed, a memorandum of understanding (MOU), Non-Disclosure Agreement (NDA) or any alternative agreement can be executed with the subject entity/entities (e.g. NIDLP or other government entities) to set a collaboration framework and exchange data and information.

Preparing a Feasibility Study and Apply for Support Packagesoptional

While preparing your feasibility study, you can also apply, and negotiate where applicable, all the support packages and enablers provided through NIDLP executing entities. The feasibility study shall also include an Environmental Impact Assessment (EIA) in addition to financial analysis of the project, with details around expected revenues, OPEX, CAPEX, EBITDA margin, cost of capital and expected returns.

Foreign Investment License through Ministry of Investment

To invest as a non-Saudi Citizen, you must apply and obtain a foreign investment license from the Ministry of Investment (MISA).

Fees:

  • Annual fees of 12,000 Saudi Riyals for the first year.
  • Annual fees of 62,000 Saudi Riyals for any following year.

Time Frame:

  • One (1) Business Day

Documents Required:

  • A copy of the Commercial Registration from your home country.
  • A financial statement for one fiscal year.
  • Both documents should be validated by the Saudi Embassy and the Ministry of Foreign Affairs in your home country.

Foreign Investment License from Economic Cities and Special Zones Authority

Foreign Investment License from Economic Cities and Special Zones Authority
If your investment application relates to the Economic Cities and Special Zone Authority (ECZA), you will need to apply for an investment license from ECZA directly.

Fees:

  • Annual fees of 25,000 Saudi Riyals for the first year.
  • Annual fees of 5,000 Saudi Riyals for any following year.

Time Frame:

  • Two (2) Business Days.

Documents Required:

  • Copy of trade name reservation.
  • Identification Document for each partner.
  • Commercial Registration.
  • Article of Association including amendments for companies.
  • Identification Document for each individual partner: National ID Card for Saudis and GCC, Resident Identity for residents, or Passport non-residents.
  • The resolution to establish a company inside an Economic City for each partner.
  • Partners resolution for companies stating the names of the partners, investment capital, partner shares, the appointment and responsibilities of the general manager, and the Power of Attorney or delegation letter for the applicant.
  • A letter issued by the individual partners stating the appointment and responsibilities of the general manager, and the Power of Attorney or delegation letter for the applicant.

Commercial Registration

As an investor, you are required to apply for a commercial registration from the Ministry of Commerce to practice commercial activities.

Conditions:

  • To be at least 18 years old.
  • The owner should not be a government employee.
  • The capital should not be less than 5000 Saudi riyals.
  • In the event that the issuance is for a sub-registry, the main register must be valid.
  • It is not required to issue a subsidiary register if it has the same activity and the same administrative region.

Duration of Service:

immediate.

Service Fees:

  • SR 200 for main register.
  • SR 100 for subsidiary register.

Establishment Registration

Register the new establishment at all of

  1. Zakat, Tax and Customs Authority,
  2. Ministry of Human Resources and Social Development and
  3. General Organization for Social Insurance.

Required Documents:

  • The Commercial Registration.
  • Memorandum of Association

Special Requirementswhere applicable

For Chemical industries, if you shall require Gas or fossil fuel as a feedstock, you must apply for fuel allotment from the Ministry of Energy.

Secure Industrial Land

There are different ways to secure land:

  • Through the Saudi Authority for Industrial Cities and Technology Zones (MODON);
  • Through the Economic Cities and Special Zones Authority (ECZA);
  • Through the Royal Commission for Jubail and Yanbu; or
  • You can apply through the Ministry of Municipal and Rural Affairs for the lands you need.

The Saudi Authority for Industrial Cities and Technology Zones (MODON)

Time Frame:

  • 25 days.

Documents Required:

  • Commercial registration.
  • Preliminary plan for the project.
  • Timeline for construction (maximum 2 years).

The Economic Cities and Special Zones Authority (ECZA)

Time Frame:

  • 1 working day.

Documents Required:

  • Apply directly for construction permit.

The Royal Commission for Jubail and Yanbu (RCJY)

Time Frame:

  • 36 working days for major and secondary industrial projects, or 19 working days for supporting industrial projects.

Supporting Industries Projects

Documents Required:

  • CR.
  • Conceptual site plan.
  • Environmental criteria questionnaire.
  • Process flow diagram.
  • Process description.

Primary and Secondary Industries Project

Documents Required:

  • Expression of interest.
  • Data summary sheet.
  • Environmental criteria questionnaire.
  • Saudization Program.

Apply for a Loan

You can utilize the financial enablers to apply for a loan, for example the financing programs provided through the Saudi Industrial Development Fund (SIDF) or the programs provided through Monshaat Authority for small and medium enterprises. A commercial loan can also be an alternative or a supplement.

The Saudi Industrial Development Fund (SIDF)

Documents Required:

  • Sector details.
  • License details.
  • Company details.
  • Product details.
  • Ownership.
  • Net worth details.
  • Bank details.
  • Authorized person details.
  • Copy of the commercial registration.
  • Copy of the articles of association.
  • Copy of relevant land lease agreement documents or original land title deed.
  • Authorization by the company’s board of directors or power of attorney to their representative to sign the loan agreement related agreements and order notes.
  • Detailed list of the project fixed assets to be mortgaged.

Monshaat Authority for Small and Medium Enterprises

Documents Required:

  • Please visit Monshaat website for more details.
  • License details.
  • Company details.

Apply for Environmental Permit for Construction

Before construction works, you should apply for an environmental permit for construction. At this point, you would have already an endorsed Environmental Impact Assessment (EIA) to identify expected environmental impacts and determine the environmental requirements during construction phase. The fees and time required to obtain the permit will depend on EIA categorization.

Fees:

  • Category I: 1,000 Saudi Riyal
  • Category II: 10,000 Saudi Riyal
  • Category III: Depends on project type and scope

Time Frame:

  • Category I: 15 Business Days
  • Category II: 40 Business Days
  • Category III: Depends on project type and scope.

Apply for Construction Permit

After signing a contract to obtain land, you can apply for a construction license through the relevant entity, such as MODON, the Royal Commission for Jubail and Yanbu (RCJY) or the Economic Cities and Special Zones Authority (ECZA).

The Saudi Authority for Industrial Cities and Technology Zones (MODON)

Fees:

  • Free.

Time Frame:

  • 3 business days.

Documents Required:

  • General plan for the project.
  • Project timeline.
  • Copy of supervision contract between owner and consultants.
  • Copy of contract between owner and contractor.
  • Pledge by the owner to provide electric power in case it is not available.

The Royal Commission for Jubail and Yanbu (RCJY)

Fees:

  • Free.

Time Frame:

  • 3 business days.

Documents Required:

  • NOC letter from the Saudi Electrical Company.
  • GOSI certificate insurance.
  • Environmental Permit to Construct (documents required are available in RCJY investment manual book).

The Economic Cities and Special Zones Authority (ECZA)

Fees:

  • 1000 Riyals for each application +1.5 Riyals per square meter built.

Time Frame:

  • 16 business days.

Documents Required:

  • Investment Licence.
  • Completion of “Register Sales” or “Register Lease” services.

Apply for Safety Certificate Prior to Operations

After completing construction, you can apply for a safety certificate through Salamah service, provided by the General Directorate of Civil Defense.

Apply for an Industrial License

You can apply for the final industrial license from the Ministry of Industry and Mineral Resources (MIM) through Senaei portal (www.industrial.mim.gov.sa).

Fees:

Not applicable

Time Frame:

Three (3) Business Days

Documents Required:

  • If you are building your facility within an area that falls under the Ministry of Municipal and Rural Affairs perimeter, you must provide the municipal license as a required document. However, if your facility is located within an industrial city (e.g. industrial cities governed by MODON, RCJY or ECZA), you will need to provide the contract for land allocation.
  • Documents for any required approvals that apply to your industry.
  • Commercial Registration.
  • Environmental Permit.
  • Foreign Investment License (if applicable).

Apply for Environmental Permit for Operations

You can obtain an Environmental Permit for Operations after all environmental requirements are met and construction works are complete.

Fees:

  • Depends on project type and scope.

Time Frame:

  • Category I: 15 Business Days
  • Category II: 40 Business Days
  • Category III: 85 Business Days

Apply for Operational License

You can apply for Operational License through the relevant entity, such as MODON, the Royal Commission for Jubail and Yanbu (RCJY) or the Economic Cities and Special Zones Authority (ECZA). Or, if your facility is not located within an industrial city, you can apply for the Operational License through the Ministry of Municipal and Rural Affairs.

The Saudi Authority for Industrial Cities and Technology Zones (MODON)

Fees:

  • Free

Time Frame:

  • 3 business days.

Documents Required:

  • Commercial registration.
  • Copy of lease contract.
  • Safety plans for facility.
  • Maintenance contract for safety systems.
  • Architectural plan.

The Royal Commission for Jubail and Yanbu (RCJY)

Fees:

  • Free

Time Frame:

  • 10 business days.

Documents Required:

  • Environmental permit to operate.

The Economic Cities and Special Zones Authority (ECZA)

Fees:

  • 350 Riyals per unit.

Time Frame:

  • 20 business days.

Documents Required:

  • Building permit.

Begin Operations

At this point and after acquiring all required approvals, licenses and permits, you may begin to operate your facility.

Aftercare

If any problems or issues arise, you can reach out to the relevant entities for support. For example,industrial land providers (e.g. MODON or RCJY) also offer additional services to investors such as employee visa application support, access to healthcare facilities and R&D laboratory services.

Moreover, the National Industrial Development Center (NIDC) provides technical support before and after project completion. NIDC also analyze economic indicators, project profitability and facilitate communication with relevant authorities in the event of obstacles.

Export Journey

In case your industrial project is targeting exportation, below are the steps related to export mechanism and procedures:

  1. Complete the Sale
  2. Ensure having all required approvals for export
  3. Proof of Payment
  4. Obtain a Shipment Insurance
  5. Reserve your shipping service
  6. Load your shipment
  7. Obtain Confirmation on your Shipment from the Shipping Agent
  8. Provide Required Documents for Customs Clearance
  9. Obtain Customs Clearance
  10. Shipment Departure
  11. Provide shipment details and document to the buyer

Segment Enablers

other Sectors

Mining

Industry

Logistics

Energy