29 November 2012 10:03 [Source: ICIS news]
DUBAI (ICIS)--Kuwait's EQUATE is open to opportunities from the shale gas revolution in the US, but the long-term sustainability of the commodity still needs to be assessed, the petrochemical company's CEO Mohammad Husain said on Thursday.
"Shale gas is still new and there is no petrochemical project on the ground [in the US],” Husain said at the sidelines of the seventh GPCA (Gulf Petrochemicals and Chemicals Association) annual forum held in Dubai on 27-29 November.
“Whatever will come will still need two to three years to be completed, so in the short term definitely, there will be no major changes [to the industry],” the CEO added.
The high prices of shale gas could be a barrier for further developments in the petrochemicals industry, according to Husain.
“If it’s sustainable for 20 years with the same amount of gas available, then this will have a huge impact,” he said. “But if this turns out to be a short-term peak and then a drop [in prices], you will find people avoiding to invest.”
“In the long term, we feel that it’s an opportunity that we could capitalise and benefit from," Husain added.
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