MOSCOW (MRC) -- Lotte Chemical Corp will invest 10 trillion won (USD7.8 billion) to expand its hydrogen and battery materials businesses through 2030 in a bid to accelerate its decarbonization goals, said Theedgemarkets.
The Seoul-based petrochemical producer is targeting annual sales of 5 trillion won each in its hydrogen and battery divisions by the end of the decade, it said in a statement. It will spend 6 trillion won on its hydrogen operations and 4 trillion won to boost battery materials output.
South Korean corporates have been spending aggressively to cut their carbon footprints after Seoul pledged in 2020 the country would be carbon neutral by 2050. SK Innovation Co is pumping 30 trillion won through 2025 into its green business portfolio, mainly in batteries and recycling plastic waste, while LG Chem Ltd is investing 10 trillion won through 2025 in battery materials.
Lotte Chemical said it’s aiming to produce 1.2 million tons of hydrogen a year by 2030, and is also planning to import the green variety of the fuel. In battery materials, it wants to supply electric vehicle producers in the US.
Separately, the company is looking to scale up its recycling and bio-plastic businesses by investing another 1 trillion won through 2030. It’s targeting annual sales of 2 trillion won from these businesses by the end of the decade, it said in the statement.
As per MRC, Lotte Chemical has recently informed that that company has decided to proceed with the 5 trillion won (USD4.4 billion) petrochemical project in Cilegon, Indonesia after the previous delay due the pandemic. The project named Lotte Chemical Indonesia New Ethylene (LINE) is to commence construction in 2022.
We remind, Subsidiaries of South Korea’s Lotte Chemical Corporation on Friday announced the award of contracts worth USD757.2m to begin building a USD3.9bn petrochemical complex in Indonesia. The Lotte Chemical Indonesia New Ethylene project (LINE) will be located in Merak, Banten Province, western Java.