State-owned Qatar Petroleum on Sunday announced a plan to integrate activities of its two petrochemical units as it aims to trim domestic costs and expand internationally .
This move also follows the Qatari company’s decision to integrate its two liquefied natural gas (LNG) units, Qatargas RasGas.
Qatar Petroleum said it would merge the operations of Qatar Vinyl Co., part of Mesaieed Petrochemical Holding Co., into Qatar Petrochemical Co., a unit of Industries Qatar QSC.
In making the announcement, Saad Sherida Al-Kaabi , Chief Executive of Qatar Petroleum, said “this integration aims to enhance the competitiveness, financial performance, and resilience of both companies. The shareholders of Industries Qatar and Mesaieed Petrochemicals will directly benefit from this integration as it reduces the operating cost and enhance the profitability of both companies.
“We will pool the distinctive resources and capabilities of QVC and QAPCO to create a higher value for both of their respective shareholders, while strengthening our global competitive position in the petrochemical industry. I am confident that we will create an even more effective and efficient organization to uphold the best interest of the State of Qatar as well as each company’s respective shareholders and customers,” Al-Kaabi added.
The integration process is expected to start in March and to be completed before the end of this year.