Location: Daesan (South Korea)
Joint owners: Total and Hanwha
Facilities: refining and petrochemicals platform
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 series of three expansion projects are planned on the platform. The first one, which came on stream in September 2019, now enables the site to produce 1.4 million tons of polyethylene per year, an increase of 30%. The second one will increase polyethylene production capacity by 50% to 1.1 million tons per year by the end of 2019 and the third one will expand polypropylene production by close to 60% to 1.1 million tons per year by the end of 2020.
The projects 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.
The polymers 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 products.
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.