EQUATE Petrochemical Co. (EQUATE)
The EQUATE Group includes EQUATE Petrochemical Company (EQUATE), The Kuwait Olefins Company (TKOC), as well as a number of subsidiaries such as MEGlobal and Equipolymers. Their products are marketed throughout Asia, the Americas, Europe, the Middle East and Africa.
The EQUATE Group is a global producer of petrochemicals and the world’s second largest producer of ethylene glycol (EG). The Group owns and operates industrial complexes in Kuwait, North America and Europe that annually produce over 6 million tons of ethylene, EG, polyethylene (PE), polyethylene terephthalate (PET), styrene monomer (SM), paraxylene (PX), heavy aromatics (HA) and benzene (BZ). Employing more than 1,500 people worldwide, the EQUATE Group is a leading enterprise that pursues sustainability wherever it operates through partnerships in fields that include the environment, economy and society.
EQUATE story begun when it was established in 1995 as Kuwait’s first international petrochemical joint venture (JV) and a global producer of petrochemicals providing reliable services and solutions, enabling global customers and stakeholders to grow and attain the success they seek.
In 2004, TKOC was established as the second international petrochemical JV after, with the exact same shareholders of EQUATE. TKOC was built to continue EQUATE’s success in developing the presence of Kuwait’s petrochemical industry around the world. TKOC is currently managed and operated under the umbrella of the EQUATE Group and commenced production in August 2008.
In 2015, EQUATE acquired MEGlobal, a world leader in the manufacture and marketing of monoethylene glycol (MEG) and diethylene glycol (DEG) for a total consideration of US$ 3.2 billion. Further to the acquisition, EQUATE became the world’s second largest producer of EG. The combined entity benefits from significant economies of scale with a larger and more diversified distribution platform through Kuwait, Germany, Canada, and the United States. IT also provides an optimized cost structure with multiple points of access to feedstock from sources in North America and the Middle East with improved operational efficiency.
In 2016, EQUATE Group reached another milestone by being the first Kuwait-headquartered petrochemical entity to establish an industrial complex in the USA and the first Middle East-based organization to benefit from USA shale gas sources. Located in Freeport, Texas, the new facility – to be completed during 2019 – will increase EQUATE’s EG capacity by 750,000 metric tons annually (MTA) and enhance EQUATE’s global presence to meet customer needs. EQUATE also became the first Kuwait-based company to issue 144A transaction bonds that are tradable in the USA at a value of $2.25 billion. The bond issuance was considered the largest ever in Kuwait’s history and the Arabian Gulf’s largest bond issuance since 2014. This is following EQUATE’s securing ?investment grade ratings by S&P (BBB+) and Moody’s (Baa2), two of the largest independent rating agencies.
EQUATE is also making a significant economic contribution to the Kuwaiti economy and the global petrochemical industry. Ethylene-based products from EQUATE now account for over 60% of Kuwait’s export value from non-oil sources. By spending over $2 billion annually in several fields, EQUATE also plays a positive role in local and global business sectors. Since commencing its operations in 1997, EQUATE has contributed significantly to the growth of the Kuwaiti plastics industry by over 450%.
- Polyethylene (PE)
A basic petrochemical substance used to manufacture packaging materials, bags, containers, pipes and children toys. EQUATE’s PE product portfolio includes LLDPE C4 Film, LLDPE C6, HDPE film, and HDPE blow molding grades. It’s shatter-free and safety features make it an ideal choice for kitchenware, which offers a practical alternative to glass and ceramic dishes. Its moisture resistance and extended shelf-life advantages make it critical for food preservation and perishables’ freshness when used to store food and beverages. Its child-proof and chemical resistance make it the best solution for plastic containers holding hazardous household products such as bleach, ammonia and other powerful cleaners. Its ability to withstand rigors of shipping and durability make it the number one choice for packaging and plastic containers, which provide good storage solutions at home and in the office.
PE uses & application in Flexible & Food Packaging/Containers, Industrial Piping, Agriculture Film, Household & Industrial Cleaning (HIC).
- Ethylene Glycol (EG)
Ethylene glycol is a chemical commonly used in many commercial and industrial applications including antifreeze and coolant. EG helps keep your car’s engine from freezing in the winter and acts as a coolant to reduce overheating in the summer. Other important uses of EG include heat transfer fluids used as industrial coolants for gas compressors, heating, ventilating, and air-conditioning systems, and ice skating rinks. Ethylene glycol also
is used as a raw material in the production of a wide range of products including polyester fibers for clothes, upholstery, carpet and pillows, well as polyethylene terephthalate (PET) resin used in packaging film and bottles. Many of these products are energy saving and cost efficient as well as recyclable.
Industrial Complexes: Canada, Germany, Kuwait & USA
Offices: Brazil, Canada, China, Germany, Italy, Kuwait, Mexico, Singapore, UAE & USA
Production Capacities (MTA)
|Polyethylene||1 million||-||-||1 million|
|Ethylene Glycol||550,000||600,000||2.1* million||3.24 million|
*Includes 750 KMT that is still under construction