Kumho Petrochemical in link-up to establish bio-monomer supply-chain

On the 20th, Kumho Petrochemical (CEO Baek Jong-hoon) announced that it has signed an MOU on the previous day, the 19th, at Seoul Jongno Tower with SK geo centric(CEO Na Kyung-soo) and Tongsuh Petrochemical (CEO Chae Jong-kyung) for the establishment of a sustainable bio raw material supply chain.

According to the MOU, Kumho Petrochemical, SK GeoCentric, and East West Petrochemical agreed to collaborate in converting monomers AN(acrylonitrile) and BD(butadiene) from the existing raw material supply chain into bio monomers. Bio monomers are produced from bio naphtha using environmentally friendly raw materials such as canola oil and waste cooking oil. Under this structure, Tongsuh Petrochemical will supply bio AN using SK geo centric's bio propylene as raw material, and SK geo centric will supply bio BD to Kumho Petrochemical.

Furthermore, Kumho Petrochemical, SK geo centric, and Tongsuh Petrochemical have agreed to establish a long-term mutual cooperation relationship for sustainable growth in the petrochemical industry at the Ulsan Petrochemical Industrial Complex.

Baek Jong-hoon, CEO of Kumho Petrochemical, stated, "Kumho Petrochemical will accelerate the diversification of its environmentally friendly product portfolio based on a sustainable bio raw material supply chain," adding, "We expect that the areas in which the three companies gathered today can cooperate in the petrochemical industry will further expand."

Meanwhile, Kumho Petrochemical has been strengthening its network for carbon reduction and greenhouse gas emission reduction in the supply chain and sourcing environmentally friendly raw materials by signing an MOU for the supply of bio SM(styrene monomer) with the Japanese oil refining and petrochemical company Idemitsu Kosan in May of last year.