SK partners with Vietnam in $30 million green investment

[Courtesy of SK]

South Korean conglomerate SK Group pledged $30 million to a Vietnamese startup fostering agency, while also expanding its collaboration with the Vietnamese government on green business initiatives.

The group said on Sunday that Chairman Chey Tae-won attended the opening ceremony of the National Innovation Center (NIC), an affiliate of the Vietnamese Ministry of Planning and Investment (MPI), in the Hoa Lac Hi-tech Park in Hanoi on Saturday. SK has contributed $30 million to the NIC to date.

During his trip to Vietnam, Chey met with Vietnamese National Assembly Chairman Vuong Dinh Hue on Friday and Prime Minister Pham Minh Chinh the day after to discuss cooperation in green business initiatives. At the national hydrogen summit held at the NIC, Chey reiterated his plan to “support Vietnam’s clean energy transition and collaborate on achieving net-zero using advanced technologies such as hydrogen, carbon dioxide capture utilization and storage (CCUS), small modular reactors (SMRs), and energy solutions.”

The Vietnamese government has set a national carbon-neutral goal under the initiative of 2050 Net Zero, fanning expectations of synergies with SK’s green business initiatives. SK Supex Council Chairman Cho Dae-sik and SK E&S Co. President Choo Hyeong-wook accompanied Chey on this trip.

SK Group is expected to expand its eco-friendly business in Vietnam following the executives’ visit. SKC Ltd., the group’s chemical arm, is currently constructing a biodegradable materials production facility in Haiphong, which is targeted to begin operations by 2025. SK ecoplant Co. is also exploring waste disposal and used battery recycling business with local resource recycling companies.

SK E&S currently operates a 281-megawatt solar and offshore wind power plant. The company plans to add a 756 MW onshore wind power plant, while also seeking clean hydrogen and liquefied natural gas businesses there.