Corporate | About Us
Arabian American Development Company was organized as a Delaware corporation in 1967. The company’s principal business activities include developing mineral properties in Saudia Arabia and the United States and manufacturing various petrochemical products. ARSD owns the rights to a significant undeveloped mine in Saudi Arabia. The Company has formed a joint stock corporation with Saudi investors. ARSD will contribute the mine rights to this corporation, and investors will contribute $60 million in cash to fund the construction of a $120 million processing facility to make the mine operational. The joint stock corporation will seek financing in the form of a credit line from a bank for the remaining amount. The construction of the facility is expected to take two years. ARSD also owns approximately 55% of the capital stock of a Nevada mining company, Pioche-Ely Valley Mines, Inc ("Pioche"). Pioche owns a 300-ton a day mill which is not currently operable. It also owns 48 patented and 5 unpatented claims totaling approximately 1,500 acres located in the Pioche Mining District, Lincoln County, Nevada. A significant expenditure would be required in order to put the mill into continuous operation if commercial mining is to be conducted on the property. ARSD believes that the real estate value of Pioche is greater than the metal value. The petrochemical portion of ARSD consists of South Hampton Resouces, Inc which owns and operates a specialty petrochemical facility near Silsbee, Texas, approximately 30 miles north of Beaumont, Texas, and 90 miles east of Houston. The facility presently consists of six operating units which, while interconnected, make distinct products through differing processes: (i) a Penhex Unit; (ii) a Reformer; (iii) a Cyclo-pentane Unit; (iv) an Aromax® Unit; (v) an Aromatics Hydrogenation Treating Unit; and (vi) a White Oil Fractionation Unit. All of these units are currently in operation. The capacity of the facility’s processes when taken in total is approximately 6,400 barrels per stream day. The facility generally consists of equipment commonly found in most petroleum facilities such as fractionation towers and hydrogen treaters except the facility is adapted to produce highly specialized products that are high purity, highly consistent, precise specification materials utilized in the petrochemical industry as solvents, additives, blowing agents and cooling agents. South Hampton produces eight distinct product streams and markets several combinations of blends as needed in various customers’ applications. South Hampton produces neither motor fuel products nor any other commodity type products commonly sold directly to retail consumers or outlets.