Wanhua Chemical and Kuwait Petrochemical Industries Company Sign Joint Venture Agreement

Recently, at the headquarters of Wanhua Chemical Group in Yantai, Shandong Province, Wanhua Chemical Group Co., Ltd. (hereinafter referred to as "Wanhua Chemical") and Kuwait Petrochemical Industries Company (hereinafter referred to as "PIC", a wholly-owned subsidiary of Kuwait Petroleum Company KPC) officially signed a joint venture agreement. PIC invested US$638 million to subscribe for 25% of the equity of Wanhua Chemical (Yantai) Petrochemical Co., Ltd., a wholly-owned subsidiary of Wanhua Chemical.

Before the signing of the agreement, Kuwait Petrochemical Industries Company successfully completed the delisting procedure at the Shandong Joint Property Rights Exchange Center on April 22, 2025.

The signing of this agreement is an important milestone in the many years of cooperation between Wanhua Chemical and Kuwait Petrochemical Industries Company, marking a new stage in the strategic cooperation between the two parties and reflecting the determination of both parties to jointly promote the development of the global petrochemical industry.

Witnessed by Liao Zengtai, Chairman of Wanhua Chemical Group, and Shaikh Nawaf Al Sabah, Vice Chairman and CEO of Kuwait Petroleum Corporation, Kou Guangwu, President of Wanhua Chemical Group, and Nadia Al Hajji, CEO of Kuwait Petrochemical Industries, formally signed the joint venture agreement.

Regarding the joint venture between Wanhua Chemical and PIC, Kou Guangwu, President of Wanhua Chemical Group, said: Since he first led the Wanhua business team to visit Kuwait Petroleum Corporation in 2013, he took the lead in signing a long-term LPG supply agreement with Kuwait Petroleum Corporation, becoming the first Chinese company to directly participate in the allocation of LPG resources in the Middle East, and creating an energy artery connecting the Persian Gulf and the Yellow Sea and Bohai Sea. These direct cooperations not only ensure the stable operation of Wanhua Yantai Petrochemical Plant, but also lay a solid foundation for Wanhua Chemical to become the first Chinese company with the right to recommend CP prices. Today, the signing of the joint venture agreement between Wanhua Chemical and Kuwait Petrochemical Industries Company (PIC) is not only a comprehensive upgrade of past cooperation, but also another example of Sino-Kuwait cooperation. We look forward to using this joint venture as a new starting point to continue expanding the scope of joint venture cooperation, sharing the mission, leading the change, accelerating the pace of "oil transformation", and promoting the transformation of the petrochemical industry from "high-carbon manufacturing" to "low-carbon circulation" during this critical period of global energy transformation. We will promote the deep integration of the "Belt and Road" initiative and the "Kuwait National Vision 2035" and create a new situation of common development.