Posco International to build palm oil refining plant in Indonesia

2023. 1. 10. 15:12
글자크기 설정 파란원을 좌우로 움직이시면 글자크기가 변경 됩니다.

이 글자크기로 변경됩니다.

(예시) 가장 빠른 뉴스가 있고 다양한 정보, 쌍방향 소통이 숨쉬는 다음뉴스를 만나보세요. 다음뉴스는 국내외 주요이슈와 실시간 속보, 문화생활 및 다양한 분야의 뉴스를 입체적으로 전달하고 있습니다.

Posco International's palm oil plantation in Papua, Indonesia (Posco International)

Posco International, a trading and energy unit of Posco Group, said Tuesday it is building a crude palm oil refining plant in Indonesia, pinning high hopes on the huge potential across industries, including food, cosmetics and bioenergy.

The decision comes after its board recently approved $200 million worth of funding from AGPA, the company’s Singapore unit, to launch the project.

One of the possible plant sites is Kalimantan, the Indonesian portion of the island of Borneo, considering its geographical advantage in effectively securing raw materials and exporting completed products. Indonesia is the largest producer of palm oil globally.

The plant is set to begin construction in the fourth quarter of this year and aims to be operational by the second quarter of 2025, with an expected annual production capacity of 500,000 metric tons. The refined oil products will be exported to Indonesia’s domestic market as well as other countries such as South Korea and China.

Posco International has also operated its own palm oil subsidiary in Indonesia, called PT Bio Inti Agrindo, since 2017. Last year, the unit produced 180,000 tons of palm oil, posting $170 million in sales and $80 million in operating profits.

“We will transform into a global comprehensive business company by procuring lucrative businesses and making bold investments in high-demand markets such as food, energy and other sustainable industries,” said Posco International CEO Jeong Tak.

By Yu Ji-soo(jisooyu123@heraldcorp.com)

Copyright © 코리아헤럴드. 무단전재 및 재배포 금지.

이 기사에 대해 어떻게 생각하시나요?