Hyundai Oilbank Partners with US Company to Develop Bio-Plastics

Hyundai Oilbank announced on the 26th that it has signed a memorandum of understanding for cooperation in the bio-plastic business with the American company Danimer Scientific. Kang Dal-ho, Vice Chairman of Hyundai Oilbank (left in the photo), and Steven Croskery, CEO of Danimer Scientific, attended the signing ceremony held virtually.

[Asia Economy Reporter Oh Hyung-gil] Hyundai Oilbank announced on the 26th that it has signed a memorandum of understanding (MOU) with the US-based Danimer Scientific for cooperation in the bio-plastic business.

Bio-plastics are plastics that are either biodegradable by microorganisms or made from plant-based biomass as raw materials.

Danimer Scientific is a global leader in the biodegradable plastic material PHA (polyhydroxyalkanoate) sector. PHA is a polymer substance accumulated inside microorganisms after consuming nutrients and is 100% biodegradable in all natural environments. It is a high value-added material that is harmless to the human body and also induces carbon reduction.

The two companies will collaborate on PHA research and development, marketing, and manufacturing. They plan to develop new high-value applications using PHA, jointly respond to demand in the Asian market, and consider various options including joint investment in production facilities.

Hyundai Oilbank is addressing plastic issues by producing eco-friendly naphtha using pyrolysis oil derived from waste plastics. Its in-house Central Technology Research Institute is also studying various production methods for pyrolysis oil-based products through property improvement and impurity removal.

Choi Jin-woo, Executive Director of Hyundai Oilbank’s RE New Business Division, said, "Despite the severe ecological damage caused by incineration and landfill of waste plastics that are difficult to recycle, plastic usage continues to increase. Replacing conventional plastics with bio-plastics can reduce environmental pollution."