Saudi Chemical Company Holding announced on Sunday that construction on a new warehouse in Jeddah will commence in the fourth quarter of 2025, for 75 million Saudi riyals ($20 million).

The new facility will be built on 20,000 square metres of land owned by Saudi International Trading Co. (SITCO Pharma), which will provide 14,000 square metres (sqm) of storage space and 800 sqm of premium office space, the company said in a statement to the Saudi stock exchange.

The warehouse will feature the latest automation and cooling systems, and will be fully compliant with Saudi Food and Drug Authority (SFDA) regulations. It is expected to be completed in the first quarter of 2027.
 
The project will be financed through Shariah-compliant bank loans secured from local lenders, the statement said.

Trial operations are expected to start in the fourth quarter of 2026, lasting for three months, with commercial operations anticipated to begin in the first quarter of 2027.
 
The name of the contractor or other parties will be disclosed later, the statement said,

(Editing by Anoop Menon) (anoop.menon@lseg.com)

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