South Korea's Lotte Chemical and Hyundai Oilbank plan to set up a new heavy feed-based petrochemical plant in Daesan by 2021, the former said Wednesday in a statement to the Korea Exchange.
The KRW 2.7 trillion ($2.5 billion) plant is expected to produce 750,000 mt/year of ethylene, 750,000 mt/year of polyethylene and 400,000 mt/year of polypropylene using heavy fuel as a feedstock.
The investment in the plant will occur after a final investment decision is made at an undisclosed timing.
The petrochemical plant will be operated by Hyundai Chemical, a joint venture between Lotte Chemical and Hyundai Oilbank.
Currently, the joint venture operates a 130,000 b/d condensate splitter in Daesan, producing 1.2 million mt/year of mixed xylenes, 1 million mt/year of light naphtha and 50,000 b/d of oil products such as gasoil and jet fuel.
