Sahara Petrochemical Company announces its primarily financial results for the period ended on 30/06/2010 (six months) are as follows:

1. The net profit during the second quarter was (100.79) millions Saudi Riyals compared to a loss of (5.98) million Saudi Riyals for the corresponding quarter last year. There is comparatively a net profit of 116.02 million Saudi Riyals in the previous quarter, which represents increase of 13%

2. The company has not achieved total profit or loss during this quarter due to the experimental operation of Alwaha Petrochemical Company, one of SAHARA affiliates.

3. Loss of key processes during the second quarter amounted to (867) thousand Saudi Riyals compared to (12) millions in the counterpart quarter last year, which embodies a decline of 92%

4. the net profit during last (six months) amounted to (216.81) millions Saudi Riyals compares to a loss (20.16) millions Saudi Riyals in the same period last year.

5. Share's profit for (six months) amounted to 0.74 Saudi Riyals in comparison to a loss of (0.11) Saudi Riyals for the same period in the previous year, taking into account that the number of present shares has outstandingly risen compared to their number last year after getting the capital incremented in the third quarter of the last year.

6. the company has not achieved total profit or loss during the (6 months) due to the trial operations of Alwaha Petrochemical Company, one of SAHARA affiliates.

7. Loss of key processes during (six months) amounted to (4.5) million Saudi Riyals compared to (25.12) millions Saudi Riyals in the counterpart period last year, which embodies a decline of 82%

8. The reason for the rise in the net profit is basically due to the increase in the revenues resulted from the sales of the Saudi Ethylene and Polyethylene which SAHARA Petrochemicals Company owns 75% and Lyondell Basell 25% as an international partner. The company has begun commercial operations since June 1, 2009. SAHARA Petrochemicals company  clarifies continualy the experimental production stage is in Alwaha Petrochemical Company's Plant, an affiliate. Sahara Petrochemical Company owns 75% of its capital whereas Basel Lyondell Basell possesses 25% as an international partner.
 
Future results of the company are expected to improve based on the expected good performance of affiliates and the increasing demand on the company's products in domestic and global markets.

Appended Clarification (Wednesday 14-July-2010):

Sahara Petrochemical Company clarifies that the reason of low losses for the main operations in the second quarter 2010 and (six months) is due to the general and administrative expenses which been loaded on Al Waha Petrochemical Company - SAHARA affiliate.

Regards,
Public Relations Department