In South Korea, Total and Hanwha are partners at the Daesan integrated refining and petrochemicals platform as part of the 50/50 Hanwha Total Petrochemical joint venture. The two companies approved a series of significant investments in 2017 to continue developing the key South Korean facility.
The Daesan refining and petrochemicals platform in South Korea gives Total a strategic position in Asia. A nearly $2 billion upgrade completed in late 2014 doubled the facility’s production capacity to meet the strong growth in demand for plastics in Asia, notably in China.
A new expansion, scheduled for completion by mid-2019, will increase the facility’s ethylene production capacity by 30%. It will also enhance the platform’s flexibility by allowing it to process propane, a cheap feedstock in plentiful supply since the shale gas revolution in the United States.
In December 2017, a further investment was announced to expand the facility’s annual polyethylene production capacity by 50% to 1.1 million metric tons by the end of 2019. The plastic will be manufactured using the cutting-edge Advanced Double Loop technology licensed by Total and Chevron Phillips Chemical Company, supplying the growing Asian market with high value-added polymers.
The Daesan facility manufactures petroleum products such as kerosene, diesel and gasoline as well as polypropylene, polyethylene, styrene, paraxylene and ethylene-vinyl acetate (EVA) copolymer. All are essential components for manufacturing many everyday products.
The facility also supplies styrene to Total’s Chinese petrochemicals plant in Foshan, which produces 200,000 metric tons of polystyrene per year.