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04-Jan-2016

Sahara Petrochemical announces expected impact from feedstock price increases

Sahara Petrochemical Company (Sahara) [2260.SE] has announced that it expects the increase in fuel gas, electricity and ethane prices would increase costs by c3%. The company did not announce a figure for the expected cost inflation from the increase in propane prices but said that based on current price forecasts, the impact on costs is expected to be minimal. The company added that the impact is expected to first appear in the 1Q2016 results. (Tadawul)   Sahara Petrochemicals: SAR10.36 as of 3 January 2016, Rating: Buy, FV: SAR14.50 per share, MCap: USD1,212 million, SPC AB / 2260.SE

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