To ensure more environmentally friendly transportation, Etihad Rail, the developer of the UAE railway network, will transport 1.3 million tonnes of polyolefins produced by Borouge from its petrochemical facility in Al Ruways Industrial City for export to customers each year.
Using rail, Borouge’s products will be transported in half the time—four hours—as opposed to the other modes of transportation, which would take 12 hours. Borouge is a joint venture between ADNOC and Austrian chemicals producer Borealis.
This partnership comes in efforts to provide logistics solutions to the country’s largest companies, to transport goods through the network at reduced costs and time.
“This important collaboration between Borouge and Etihad Rail contributes to the growth of Abu Dhabi’s industrial sector and will support Borouge’s ongoing drive to optimize its logistics platform, lowering both its operating costs and carbon emissions,” said Dr Sultan Al Jaber, minister of industry and advanced technology, Adnoc managing director and group chief executive, and chief executive and chairman at Borouge.
“The partnership reinforces Borouge’s resilience and accelerates the export of its Made In UAE products using more sustainable modes of transport while underlining the partners’ commitment to the UAE’s net zero by 2050 Strategic Initiative,” Al Jaber added.
The agreement also includes the construction of a rail freight terminal in Al Ruways Industrial City that will cover more than one million square meters and be used for the loading and unloading, storing, and maintaining shipping containers.
“This strategic partnership comes in line with Etihad Rail’s efforts to provide logistics solutions to some of the country’s largest companies, where they can transport goods through the rail network at reduced costs and time. In doing so, Etihad Rail also contributes to reducing carbon emissions, in line with the objectives of the UAE,” said Sheikh Theyab bin Mohamed bin Zayed Al Nahyan, Chairman of Etihad Rail.