Saudi Chemicals Producer SABIC Launches Blockchain Pilot Project – Blockchain Bitcoin News
A Saudi Arabia-based chemical manufacturer has said that the recently launched blockchain pilot is expected to reveal the capabilities of the technology “to support end-to-end digital traceability of circular raw materials in customer products.” The benefits expected to be achieved through the use of blockchain include reduced costs and time as well as improved data integration.
End-to-end digital traceability
A Saudi chemical producer, Saudi Basic Industries Corporation (SABIC), recently said it had launched a blockchain pilot project in partnership with technology firm Finboot. According to the chemical manufacturer, the goal of the pilot is to “explore the possibilities of blockchain technology to support end-to-end digital traceability of circular feedstock [raw materials] in customer products.”
In a press release, SABIC said the current process of tracking the feedstock’s journey is hampered by the complex petrochemical value chain. Therefore, SABIC, which is 70% owned by Saudi Arabia’s oil giant Aramco, plans through the pilot project to “track the product from raw material production to [the] converter, which goes further than previous industrial applications of blockchain in end-to-end tracking.
The blockchain pilot is expected to reduce costs and time, as well as improve data integration, the statement said. The company also hopes that the pilot will help to reduce the administrative effort associated with the certification process of materials.
The potential of Blockchain
In remarks following the announcement of the pilot’s launch, Waleed Al-Shalfan, vice president of Polymers Technology & Innovation at SABIC, said:
At SABIC, we have a deep commitment to innovation and technology that can help us deliver more sustainable solutions to our customers. Our vision of creating a circular economy for plastics requires a total transformation of the value chain, and pioneering partnerships with partners both upstream and downstream. Blockchain technology holds exciting potential for the delivery of our TRUCIRCLE products to customers, and therefore for our commitment to supporting customers in their sustainability aspirations.
Juan Miguel Pérez Rosas, CEO of Finboot, said the pilot will “contribute to the development and progression of a circular economy.”
According to the press release, Finboot’s MARCO software will be used as a “middleware layer” that tracks the product from Plastic Energy where it is manufactured, to its delivery to SABIC for conversion into Trucircle circular polymers. The supply of circular polymers to Intraplás “for conversion into their packaging solutions” will also be tracked.
Throughout the process, the technology will ensure the immutability of all collected data that must be distributed to suppliers, customers and regulators. This, according to the press release, provides “transparency, auditability and accountability in a complex industrial ecosystem.”
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