Saudi Basic Industries Corporation (SABIC), BASF and Linde expect the world’s first demonstration plant for large-scale electrically heated steam cracker furnaces will be ready for start-up in the second half of 2023, the Saudi petrochemicals major said in a statement to the Saudi stock exchange.

The demonstration plant will be fully integrated into one of the existing steam crackers at BASF’s Verbund site in Ludwigshafen, Germany.

In September, the companies had announced the start of construction of the world’s first demonstration plant.

The new technology can reduce CO2 emissions of one of the most energy-intensive production processes in the chemical industry by 90 percent by using electricity from renewable sources instead of natural gas, the statement said.

(Writing by D Madhura; Editing by Anoop Menon)