US Dow Chemical confident on getting paid Kuwait K-Dow award

24 October 2012 17:50  [Source: ICIS news]

HOUSTON (ICIS)--Dow Chemical remains confident it will be paid the $2.16bn (€1.66bn) arbitration award for its failed K-Dow joint venture in Kuwait, the CEO of the US-based chemicals major said on Wednesday.

In May, an arbitration panel awarded Dow the money but Kuwait appealed. The case goes back to 2008 when, during the global financial crisis, Kuwait withdrew from the planned K-Dow petrochemicals joint venture with Dow.

“You would expect an award of this size to be appealed, and it was,” Andrew Liveris told analysts during Dow’s third-quarter results conference call.

Liveris said that “things are moving very much in the methodical, professional, legal jurisdiction they should” while “the interest clock is ticking every single day”.

“We believe Kuwait will honour the decision, it’s a country that belongs to the nations of the world, it is not a rogue nation,” he said.

“We believe there will be payment, no matter what happens in Kuwait,” he said.

“Frankly, if Kuwait doesn’t pay this, it will look very bad with respect to any other foreign investment it ever wants to attract into the country, and they know that,” he added.

($1 = €0.77)

By: Stefan Baumgarten
+1 713 525 2653

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