Local reports say Sabic affiliate National Industrial Gases Company (GAS) yesterday signed a new 1.5 billion Saudi riyal ($400 million) Murabaha loan facility with a club of eight local and Gulf banks to help finance the expansion projects it has underway.

The loan agreement was signed by Ebrahim Al Shuweir, Chairman of GAS, and Sabic's Vice-President, Corporate Control and Banque Saudi Fransi, Riyad Bank, National Commercial Bank, Samba Financial Group, Arab Petroleum Investments Corp (Apicorp), Saudi Hollandi Bank, Arab National Bank and Gulf International Bank B.S.C.

GAS has mandated Banque Saudi Fransi as financial advisor and lead arranger.

The new GAS expansion projects are currently under implementation at its complexes in Jubail and Yanbu Industrial Cities.