The global outlook for petrochemical demand over the next three years is positive and there is room for prices to rise, Saudi Basic Industries Corp (SABIC) Chief Executive Officer Mohamed Al-Mady said during a press conference on Sunday .
SABIC, one of the world's largest petrochemicals groups, earlier reported a 7 percent year-on-year increase in second-quarter net income, matching analysts' predictions.
Forecasts suggest shale gas, a potential feedstock for petrochemicals, will only be produced in large quantities from the United States in 2018, leaving room for improvement in petrochemical prices before then, he said.
For this year, Mady predicted the business outlook would remain similar to 2013, with petrochemical product prices probably staying stable.
He added that Africa was a very promising market for SABIC and the company was focusing on opening distribution centers in a number of African countries, especially for fertilizers and plastics.
Chief financial officer Mutlaq Morished told the news conference that SABIC's sales in the second quarter climbed to SR48.15 billion ($12.84 billion) from SR44.99 billion a year earlier - By Mohamed Al Mady© Copyright - Saudi Gazette