ASG Plastic Factory Company expects to commence work on the expansion of its factory in Sudair Industry and Business City in the fourth quarter of 2025, with completion anticipated in the first quarter of 2027.

Discussions are currently underway with several suppliers and consultants, the company stated in a press release to the Saudi stock exchange.

The expansion encompasses an area of 100,959 square metres.

The project's estimated cost is 60 million Saudi riyals ($16 million). Although the company expects to self-finance the project, it is open to securing funding from the Saudi Industrial Development Fund (SIDF) or other financing entities.

Trial production is expected to start in the first quarter of 2027 and will last for one month.

Commercial production is forecast to begin in the first quarter of 2027.

The initiative is part of ASG’s expansion plans to boost production capacity and keep pace with the rapid growth in the sector.

No details were given on the current production capacity of the existing plant.

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

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