Construction of Eco-friendly Bio-raw Material '3HP' Pilot Production Facility in Yeosu
Prototype Production in 2023... Entry into Bio-plastic Market
Heo Se-hong, President of GS Caltex (left), is taking a commemorative photo with Shin Hak-cheol, Vice Chairman of LG Chem (right), and Jeong Ki-myeong, Mayor of Yeosu (center), after signing a memorandum of understanding (MOU) and holding a groundbreaking ceremony for the demonstration plant for 3HP prototype production at the GS Caltex Yeosu plant on the 28th.
[Asia Economy Reporter Oh Hyung-gil] GS Caltex and LG Chem have joined forces to build a white bio ecosystem.
On the 28th, the two companies held a groundbreaking ceremony for a pilot production facility for '3-hydroxypropionic acid (3HP),' a key raw material for eco-friendly materials such as biodegradable plastics, at the GS Caltex Yeosu plant. The ceremony was attended by LG Chem Vice Chairman Shin Hak-cheol, GS Caltex President Heo Se-hong, Yeosu Mayor Jeong Gi-myeong, and R&D personnel from both companies.
3HP is a bio-based raw material produced through an eco-friendly fermentation process and is used to make acrylic acid, acrylonitrile, biodegradable materials, and more. It is highly regarded for its wide range of applications, from personal hygiene products to lightweight materials for electric vehicles, indicating great expansion potential. The two companies signed a Joint Development Agreement (JDA) last November for the development of mass production technology and pilot production of 3HP.
By 2023, the companies plan to establish a 3HP pilot production facility at the GS Caltex Yeosu plant and produce pilot products. They aim to accelerate entry into the biodegradable materials and various bioplastics markets.
The pilot production facility combines GS Caltex's separation and purification process technology and process scale-up technology with LG Chem's fermentation core technology to actively promote a high value-added eco-friendly biochemical business. Although there have been global attempts to develop 3HP technology, there are no commercialized cases yet.
Additionally, the two companies signed a Memorandum of Understanding (MOU) for the development of '1,4-butanediol (1,4-BDO)' technology, an eco-friendly raw material used in biodegradable materials and polyurethane manufacturing. They will collaborate across the white bio sector and actively discuss ways to realize a sustainable bio ecosystem.
They also signed an MOU with Yeosu City for the development of the white bio industry, carbon neutrality, and a circular economy. Yeosu City will provide administrative support to ensure the smooth progress of this pilot project, and the companies agreed to prioritize Yeosu City as the site for new factory construction when commercializing in the future.
Heo Se-hong, President of GS Caltex, said, "This is a meaningful day marking the first step of the white bio business in the Yeosu National Industrial Complex," adding, "We will strive to strengthen ESG capabilities through R&D in the white bio field and build resource efficiency and a circular economy to realize a sustainable bio ecosystem."
Shin Hak-cheol, Vice Chairman of LG Chem, said, "It is very meaningful that Korea's leading refining and chemical companies have joined hands for a sustainable future," and added, "Starting with the establishment of the 3HP pilot plant in Yeosu, we will continue to strengthen our collaboration toward carbon neutrality in the white bio sector."
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