Kuwait's Equate Petrochemical Company plans to commence operation in September 2008 at its Equate 2 mega petrochem project, at an investment outlay of US$ 2.5 bln- funded by local, regional and international banks. The project is based on the production of basic nylon materials, polyethylene, polypropylene and glycol, which are used in making polyester and nylon. The project will supply to markets in India, China, Singapore, Vietnam, Egypt, Lebanon and Syria. Equate 2 seeks to introduce value addition to Kuwaiti oil by converting it into products sold at an equivalent of US$500 per barrel instead of US$80 per barrel of crude.
Dow Chemical USA, the foreign JV partner in the new project, is the backbone of the enterprise as it has provided the company with new petrochemical technology and large technical and administrative experience.