Kuwait Says it Has Taken the Necessary Steps to Defend Itself Against Future Legal Action by Dow Chemical

摘要

The Kuwaiti authorities have taken all necessary steps to defend the country against a lawsuit that The Dow Chemical Company intends to bring against Kuwait Petroleum Corporation (KPC) following its decision to pull out of the planned joint venture between Petrochemical Industries Company (PIC) and the U.S. company, the Minister of Trade and Industry, Mr. Ahmed Baqer, declared on 7 January. Quoted by Al Watan, Mr. Baqer, who kept his job in the new government sworn in on 12 January, explained that the last two meetings held by the Cabinet and the Supreme Petroleum Council (SPC) had stressed the need to "follow meticulously the procedures laid down in the agreement for preventing the [American] company from claiming financial damages, and in particular the penalty clause of 2.5 billion." According to sources quoted by the newspaper, negotiations "that could last weeks" are due to be held between the two companies.