Kuwait's KPC suspends top officials after Dow payout

State-run Kuwait Petroleum Company (KPC) appointed a new chief executive and suspended other top officials after the country paid $2.2bn in damages to Dow Chemical Co over a scrapped plastics joint venture.

Nizar Mohammad al-Asani replaced Farouk Zanki as CEO at the oil firm and the cabinet approved the nomination of six board members, a statement on state news agency KUNA said. Newspaper al-Rai said that two of the board members were new.

The government also suspended officials at KPC unit Petrochemical Industries Co. which pulled out of the $17.4bn K-Dow petrochemical venture in December 2008, citing the deteriorating global economy. It did not give details.

The chief executive of KPC holds a seat on Kuwait's Supreme Petroleum Council, which sets oil policy. Kuwaiti newspapers reported on Sunday that other KPC members of the council had been replaced, without giving details.

K-Dow was a politically sensitive deal in major oil exporter Kuwait and came under scrutiny in parliament, where lawmakers often clash with the government, especially over large state investments.

Related:
Join the Discussion

Disclaimer:The view expressed here by our readers are not necessarily shared by Arabian Business, its employees, sponsors or its advertisers.

Please post responsibly. Commenter Rules

  • No comments yet, be the first!

All comments are subject to approval before appearing

Further reading

Features & Analysis
OPEC in new push to clinch first deal to curb output since 2008

OPEC in new push to clinch first deal to curb output since 2008

Behind the scenes, OPEC experts are trying to work out last-minute...

Tired of cheap oil, Saudis eye price boost to drive Aramco IPO

Tired of cheap oil, Saudis eye price boost to drive Aramco IPO

Change in tone comes as OPEC and other producers such as Russia...

Generation game: the struggle for power in the Gulf

Generation game: the struggle for power in the Gulf

The oil price decline has left a huge funding gap for the Gulf...

Most Discussed
sponsoredTracking