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

Seoul – Kumho Petrochemical has signed an MOU with SK geo centric and Tongsuh Petrochemical for the establishment of a sustainable bio-based raw material supply-chain.

Under the partnership, the three companies have agreed to cooperate in converting monomers acrylonitrile (AN) and butadiene (BD) monomers from the existing raw material supply-chain into bio-monomers.

Bio-monomers, noted Kumho Petrochemical, are produced from bio-naphtha using “environmental-friendly” raw materials such as canola oil and waste cooking oil.

Under the agreed 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 respectively.

Through the MOU, Kumho Petrochemical said it aims to secure a bio-monomer supply-chain as part of plans to expand its environmental-friendly product portfolio.

The strategy includes obtaining ISCC+ certification for synthetic rubbers – SBR, NBR, HSR, SBL, NBL – as well as styrenic resins within the first quarter of this year.

Last year, Kumho Petrochemical obtained ISCC+ certification on four ‘tire-use’ elastomers – SSBR, HBR, LBR, NdBR – manufactured from its Yeosu synthetic rubber plant.

The Korean polymer maker added that it “is expecting to expand to wider range of products this year.”

"Kumho Petrochemical will accelerate the diversification of its environmentally friendly product portfolio based on a sustainable bio raw material supply chain," said Baek Jong-hoon, CEO of Kumho Petrochemical.

"We expect that the areas in which the three companies gathered today can cooperate in the petrochemical industry will further expand," he added.