Kuwait’s Petrochemicals Industries Company (PIC) has agreed to pay $100m to buy a 25% equity stake in a venture owned by South Korea’s SK Gas Co Ltd and Saudi Advanced Petrochemical Co, reported Reuters.
Through the purchase, PIC will invest in the SK Advanced venture, which is building a 600,000 tons per year propane dehydrogenation (PDH) project in South Korea. SK Advanced will be a three-party venture with Korean SK Gas retaining a 45% stake and Saudi Advanced having a stake of 30%, reduced through the purchase from the original 35%, informed Trade Arabia.
Saudi Advanced will begin trial operations of the South Korean project in Q1 of 2016, with commercial operations to follow in March this year.
PIC is a subsidiary of state oil giant Kuwait Petroleum Corp. and SK Gas is a liquefied petroleum gas (LPG) distributor.