Petrochemical Industries Co. KSC (PIC) of Kuwait and Union Carbide Corp., Danbury, Conn., have signed a memorandum of understanding confirming their intent to form a joint venture to build and operate a world scale petrochemical complex in Kuwait.
Slated for completion in 1997, the complex will include a 650,000 metric ton/year ethane cracker, 450,000 metric ton/year of polyethylene capacity, and 350,000 metric ton/year of ethylene glycol production.
The venture will couple an advantageous feedstock position in Kuwait with Carbide's Unipol polyethylene and ethylene glycol technologies and world marketing capability.
The project will be a major step in developing Kuwait's petrochemical industry. This, along with possible Kuwaiti private sector participation in the joint venture, will extend the benefits from the complex to Kuwait, PIC, and the private sector, said PIC Chairman Hani A. Hussain.
The complex will serve world markets with emphasis on the Asia-Pacific region.
Union Carbide Chairman Robert Kennedy said current forecasts show the supply/demand balances for polyethylene and ethylene glycol will be more favorable by the time the complex is completed and new capacity will be needed to supply growing world markets.
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