Date/Time
Date(s) - 20 November 2013
12:00 am
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Dubai -November 20 – 2013 — EQUATE Petrochemical Company said that it was on track for the PE plant debottlenecking project which is expected to be completed during 2015 to increase its current capacity of 825,000 MTA.
During a media session on the sidelines of the 8th Annual GPCA Forum with the participation of President & CEO Mohammad Husain along with Senior VP Eliezer Maldonado, the company said that its 2013 profits “are really good,” noting that its 2012 net profit was USD 1.09 billion.
EQUATE noted that it currently has no role in the Olefins III project and it is working to launch talks with PIC as the project’s owner, hoping to be participate in this industrial initiative.
Regarding aspirations for the petrochemical industry in Kuwait, EQUATE said that KPC has been adopting the direction of integration between refineries and the petrochemicals.
On the petrochemical industry’s future in light of shale gas discoveries, EQUATE noted that the focus on shale gas has mainly been in North America within a local framework, without much talk about its role in Europe, China and India.
EQUATE expressed its aspiration to venture into shale gas if within an international context due to its international capabilities and strong international relations such as with Dow.
EQUATE alluded to focusing on increasing its production capacities relevant to products of ethylene, polyethylene and ethylene glycol, noting that it has ambition to launch investments abroad despite not having anything proposed in the meantime, as well as not having any current role in KPC’s projects in Vietnam or China.
EQUATE added that global demand during the next three years for EG is six percent and 4.5 percent for PE, expecting a peak of demand for its products during these next three years in light of upcoming capacities for PE in Saudi Arabia and EG in Qatar.
On shortage of feedstock in Kuwait, EQUATE said it has two options of either to import feedstock or work outside Kuwait if suitable opportunities are not available, while expressing optimism towards gas production in Kuwait.
EQUATE stressed the significance of local and international growth in terms of production and targeted markets in light of growth reaching seven percent in relevant countries such as China.
On arising challenges, EQUATE said such challenges stem from Kuwait’s desire to develop the petrochemical sector, noting that other countries were using this industry within a sustainable strategic context to create job opportunities through downstream industries “and without doubt, having the best industrial opportunities requires encouraging investments and creating sustainable jobs, not only launching projects.”
EQUATE affirmed that the downstream industry has actually commenced especially in Saudi Arabia which includes specialized downstream industries, noting that the future greatly relies on such downstream business and there might be need to develop the utilization of liquid feedstock instead of the current gas feedstock, as well as shifting to different technology and changing the current practice through focusing and specializing in a single field to develop it sustainably and using unconventional mediums for this matter.
EQUATE highlighted its 2020 Strategy that includes three main stages with the first focusing on qualifying relevant human resources, the second preparing to enter the international scene and the third is venturing into the global arena.
EQUATE explained, “The first phase is all about creating as much added-value from current facilities, while the second and third are all about making EQUATE have greater global presence, with all stages focusing on distinguished human resources, especially Kuwaitis, through being more specialized and optimum technology utilization within a creative, innovative and sustainable work environment.”
Established in 1995, EQUATE is an international joint venture between Petrochemical Industries Company (PIC), The Dow Chemical Company (Dow), Boubyan Petrochemical Company (BPC) and Qurain Petrochemical Industries Company (QPIC). Commencing production in 1997, EQUATE is the single operator of a fully integrated world-scale manufacturing facility producing over 5 million tons annually of high-quality petrochemical products which are marketed throughout the Middle East, Asia, Africa and Europe.