Hyundai Chemical completes 3-trillion-won petrochemical plant

Hyundai Chemical completed the construction of a 3-trillion-won ($2.1-billion) petrochemical plant, Hyundai Oilbank said Wednesday.

Hyundai Chemical held a ceremony Wednesday to celebrate the construction of its Heavy Feed Petrochemical Complex in Seosan, South Chungcheong. [HYUNDAI OILBANK]

Hyundai Chemical completed the construction of a 3-trillion-won ($2.1-billion) petrochemical plant, Hyundai Oilbank said Wednesday.

Hyundai Chemical is a 60-40 joint venture between Hyundai Oilbank and Lotte Chemical, founded in 2014.

Measuring 660,000 square meters (163 acres) in size, the newly-built Heavy Feed Petrochemical Complex (HPC) is situated at Hyundai Oilbank’s oil refinery complex in Seosan, South Chungcheong.

The complex can produce 850,000 tons of ethylene and 500,000 tons of propylene a year.

Petrochemicals are largely divided into aromatics — which include benzene, toluene and xylenes — and olefins, such as ethylene and propylene.

Hyundai Oilbank, which has been producing only aromatics like para-xylene, diversified its chemical product portfolio into olefins with the new facility. Hyundai Oilbank said that it plans to produce polyethylene, polypropylene, ethylene-vinyl acetate (EVA) and other chemical products at the complex.

EVA is used in making solar panels. Hyundai Chemical has an annual EVA production capacity of 300,000 tons, which the company claims to be the largest for a single production line in Korea.

Hyundai Chemical invested over 3 trillion won in the HPC project since 2018. Hyundai Oilbank expects that the HPC will add 1.15 million tons to the company’s export volume a year and 3.8 trillion won to its export value.

A ceremony to celebrate the completion of the complex was held Wednesday, attended by Governor Kim Tae-heum of South Chungcheong, Kwon Oh-gap, HD Hyundai chairman, Chung Ki-sun, HD Hyundai CEO, Kang Dal-ho, Hyundai Oilbank CEO and Lotte Chemical CEO Kim Gyo-Hyun.

“With the completion of HPC, Hyundai Chemical will become a general chemical company, actively putting forward its future businesses such as environmentally-friendly chemical materials,” said Kwon.

Hyundai Oilbank is 73.9 percent owned by HD Hyundai.

BY SHIN HA-NEE [shin.hanee@joongang.co.kr]