04/08/2025
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04/08/2025
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KUWAIT CITY, Aug 4: The Petrochemical Industries Company (PIC) announced a net profit of KD58.5 million for fiscal 2024/2025 – an increase of KD19.5 million or 33.3 percent compared to the profit of KD39 million in the last fiscal year. Oil sector sources pointed out that this strong financial performance was achieved despite the challenges posed by geopolitical instability; specifically, the disruptions in global supply chains and widespread shift to long-haul shipping routes, which significantly increased logistics costs. Sources attributed the company’s robust performance to several factors as follows:
- Rising global demand for petrochemical products,
- Strict cost rationalization policy,
- Continuous development of operational processes,
- Strategic support and investment in local and international companies where PIC holds significant stakes. Sources stated that these initiatives have not only bolstered PIC’s revenues but also positively impacted the overall profitability of Kuwait Petroleum Corporation (KPC) -- its parent company.
Strategic Acquisitions and International Expansion Looking ahead, PIC is well-positioned for continuous profitability, driven by recent and upcoming acquisitions approved by KPC.
Among the most significant is the April 2025 agreement with China’s Wanhua Chemical Group to acquire a 25 percent stake in a group of petrochemical plants in Yantai, China. The deal covers several high-value industrial units, including propylene oxide, tert-butyl alcohol, acrylic acid, butyl acrylate, and other specialty chemical products PIC is also evaluating new investment opportunities, both locally and internationally, over the next two years, with the aim of expanding its chemical production portfolio.
Its current investment portfolio includes 80 percent stake in Kuwait Paraxylene Production Company (KPPC), 46 percent in Kuwait Stearin Company (KTSC), 24.5 percent in Equate Petrochemical Company (EQUATE), 42.5 percent in The Kuwait Olefins Company (TKOC), 33.3 percent in Gulf Petrochemical Industries Company (GPIC), 25 percent in SK Advance (South Korea) and 49 percent in SKPIC Global (South Korea) The company reaffirmed its commitment to environmental stewardship, emphasizing ongoing initiatives to reduce industrial pollutants and support Kuwait’s national goal of carbon neutrality by 2050. Furthermore, PIC’s strategic direction aligns with the 2040 strategy of KPC, aiming to strengthen Kuwait’s position as a leading player in the global petrochemical industry.
Meanwhile, the Central Agency for Public Tenders (CAPT) has announced the extension of the deadline for submitting bids for the Kuwait Oil Company (KOC) tender to establish a new excess water injection network in Rawdatain in North Kuwait until Aug 19, instead of Aug 5. It was also published in Kuwait Al-Youm that the tender for the construction and installation of the fourth water injection station in the South Kuwait, affiliated with KOC, was postponed until Aug 26, instead of Aug 5.
The tender for the construction and installation of separation center three and water injection station three in South Kuwait was postponed until Aug 19, instead of Aug 5. Moreover, CAPT postponed the submission of bids for the KOC tender for the construction and installation of the oil separation center one and water injection station one in East Kuwait until Aug 26, instead of Aug 5.
By Najeh Bilal
Al-Seyassah/Arab Times Staff
Al-Seyassah/Arab Times Staff
